Chapter 3: Crypto Exchanges

From Fiat to Crypto: How to Buy Crypto for the First Time

Interesting Fact:

Did you know that purchasing crypto is as easy as purchasing shoes online?

easy

9 minutes

In this section, we’re going to talk about the process of how to buy crypto for the very first time!

So - you did your research, weighed all of the pros and cons, read all sections in our Crypto 101 Handbook, and have come to the conclusion that you do, in fact, want to become a cryptocurrency owner. It’s time to buy your first cryptocurrency!

While revelations like this are exciting, for sure, you quickly realize that you don’t even know where to start! Like, does it matter which crypto you buy, or what currency you use to buy it? What about the regulations, different order types, storage options, and so on, and so forth? Well, worry not - I’m here to help you out!

In this crypto beginner’s guide, we’ll look into the process of buying cryptocurrency for the first time, and how to trade cryptocurrency for beginners. I’ll guide you through the entire process, explaining every single step, so that you wouldn’t find yourself confused, at any point. At the end of this section, I’ll also tell you the very first thing that everyone needs to do after they’ve purchased their crypto - stick around and find out!

Let’s get to it, then!

How to Buy Crypto SAFELY With a Credit Card (Animated)

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Video Explainer: From Fiat to Crypto: How to Buy Crypto for the First Time

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The Process of Buying Crypto for the First Time

So, if you’re looking at how to buy crypto with a credit card, where do you start?

Well, while this isn’t a common thing to do, it’s still highly recommended that you would first contact your bank, and find out if they have any form of restrictions on crypto exchanges and cryptocurrency acquisition.

How to buy crypto: Contact your bank.

Sounds odd? Well, this can actually save you a lot of potential trouble, in the longer term!

You see, while cryptocurrencies are slowly becoming more and more mainstream, and an increasing number of people are learning how to buy crypto, some banks and traditional financial institutions still have negative attitudes towards the space. If you’re super-unlucky, and your bank is VERY against crypto, you could even get your account frozen, once you interact with an exchange! Don’t worry, though - this is a very rare occurrence, and it can usually be solved pretty simply.

Still, though - if you want to save yourself the potential headache, I would still suggest looking into the stance that your bank holds towards its clients buying crypto. Once you’ve got that out of the way, we can move on to picking out an exchange.

This is actually one of the most important steps that you need to take, while learning how to trade cryptocurrency for beginners. Think about it like this - if your car breaks down, you will need to find a mechanic to fix it. However, not any mechanic will do - if you take your car to some shady individual, they might end up ruining it, beyond repair! The same is true with crypto exchanges, as well - if you take your money to a suspicious exchange, many bad things could happen!

That said, though… How do you go about picking the right exchange for yourself? Well, admittedly, this is a topic that doesn’t only deserve a separate section, but could do with a whole chapter, in of itself! Keeping things short and to-the-point, though, you should do a lot of research on which exchange platforms are reliable, have a good track record when it comes to security features, comply with all regulatory standards, as well as offer the best trading fees, and a big variety of coin & token trading pairs.

How to buy crypto: Features of a good exchange.

Now, picking out the right cryptocurrency exchange that would allow you to learn how to day trade crypto for beginners might be a lengthy process - that’s perfectly fine! You should take all the time that you need, and make sure that you choose wisely. For the sake of this section, I’ve picked Binance, as my own exchange of choice - however, the processes that we’ll discuss moving forward will frankly be the same with any other high-end exchange out there, as well, so you should be able to follow along, no problem.

After choosing the exchange, we’ll need to register on the platform and pass the required KYC & AML verification checks. Let’s break that down, shall we?

Registration-wise, everything should take you no longer than a couple of minutes to complete. You’d fill out your email, create a strong password, and fill out some other basic information, if requested. With most exchanges, after an email confirmation, you should be redirected to your exchange dashboard. Now, before you do anything else, this is where the KYC & AML part comes in.

KYC stands for “Know Your Customer”, while AML is “Anti-Money Laundering”. Both of these terms sound very fancy and official, and there's also a dedicated section explaining them in-depth, too - feel free to check it out! For the time being, though, it’s enough to say that KYC & AML are like special security checks that everyone who wants to learn how to buy crypto need to pass, in order to start buying, selling, and trading cryptocurrencies on an exchange.

How to buy crypto: KYC check.

Before you ask - yes, these security checks are mandatory, and no, there’s no safe way to “bypass” them. It’s one of the reasons why it’s super-important that you pick a reliable and well-established crypto exchange!

With most exchange platforms, the KYC checks will involve you submitting some personal information about yourself - for example, in order to pass the basic KYC level on Binance, you will need to provide the platform with your full name, country of residence, address, birthday, nationality, some form of ID, and a selfie. Most of these are required with other high-tier exchanges, as well!

Now, KYC really is a broad topic, so I won’t look into it any further. Suffice to say that, after you’ve submitted all of the information mentioned above, if it’s all correct, your account should become verified shortly, and you’ll be able to check how to buy crypto with a credit card for the first time!

This is actually the part that tends to confuse a lot of people who are learning how to buy crypto! I mean, how do you actually BUY the crypto that you want? Do you need to fund your account, or can you buy straight from your credit or debit card?

Well, let me tell you - everything’s actually much simpler than it looks! For example, let’s say that you want to purchase some Bitcoin. Assuming that you’ve registered on a top-rated exchange, and not some niche platform, the buying process should be extremely straightforward.

Take Binance, as an example. If you’re buying crypto with a credit or debit card, all that you need to do is navigate to the “Buy Crypto” section at the top of the exchange’s homepage. Here, you’ll be able to pick the currency that you want to pay in, as well as the crypto asset that you want to buy - say, Bitcoin.

How to buy crypto: Binance.

Now all that’s really left to do is to enter your credit or debit card details, and confirm the purchase. Yes, it really is that simple! There’s no need to pre-fund your account with money, and the entire process takes but a few minutes to complete.

You Own Crypto - Now What?

So, that’s essentially how to buy crypto with a credit card, for the first time! A while ago, this process used to look quite different - it was much more complex, and involved a lot of extra steps. However, with crypto becoming more and more adopted, by the day, one of the biggest goals that crypto service providers have is to make the concept as approachable to complete beginners as possible. It’s definitely much appreciated!

How to buy crypto: Process of buying crypto.

At this point in the crypto beginner’s guide, you’re probably sitting there wondering - what now? Well, there are many different ways how you can utilize your newly-acquired crypto! For now, though, I’ll only mention the very first major thing that you need to do after purchasing crypto for the first time – transferring it to a secure cryptocurrency wallet.

Think about it like this - imagine that you’ve bought a new car. You’re really excited to drive it, and are already planning the different road trips that you’ll take. My question is - would you drive your new car home, and park it in your garage, or would you leave it in the parking lot of a mall?

The answer seems pretty obvious, doesn’t it? Sure, leaving your car in a parking lot isn’t necessarily a bad thing, but there’s a higher chance that something bad will happen to it than if you were to park it in your garage. Generally speaking, of course.

How to buy crypto: Leaving your crypto on an exchange.

The same is true with cryptocurrencies, as well. If you plan to start trading crypto, or will only hold a small number of coins & tokens, leaving them on an exchange is fine - it’s more convenient, and you don’t need to worry about the wallet acquisition part.

On the other hand, if you’re serious about getting into crypto, and plan to make many additional purchases in the near future, investing some money in a well-built, industry-leading hardware wallet might be the best choice that you’ll make throughout your crypto journey. Just some food for thought, as you manage your new crypto assets!

How to buy crypto: Holding crypto in a hardware wallet.

Notice how I say - hardware wallet. It’s true that there are multiple different software or browser-based crypto wallets out there, as well. However, if you’re looking for the best security and peace of mind, nothing can compare to a high-end hardware product!

So, that's pretty much it for first-time cryptocurrency purchases. Check out the other sections of this Crypto 101 Handbook if you want to learn more about the crypto industry as a whole!

fiat to crypto, and vice versa!<\/strong><\/p>\n<p>Recently, I wrote a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-to-buy-crypto/">section about buying cryptocurrency, for the very first time. If you haven’t read it, make sure to check it out! In that section, I went through the steps that you would need to take in order to become a proud owner of crypto!<\/p>\n<p>What if you already have your crypto, and are ready to take some profits - in other words, you want to cash out? Is it as simple to do as when you buy crypto, or are there some extra steps involved? You'll find answers to all of those questions (and more) in this section!<\/p>\n<p>So, in this section, we’re going to talk about turning crypto into fiat money, and fiat to crypto. I’ll tell you about the best ways to convert crypto to fiat, in a step-by-step manner!<\/p>\n<p><em>Let’s get right to it, then!<\/em><\/p>\n<h2>Turning Crypto Into Fiat: The Exchange Method<\/h2>\n<p>So, while there are a few different ways of how you can turn fiat to crypto, and then crypto into fiat money, we’ll start off with the most obvious one - <strong>selling your cryptocurrency on a fiat-to-crypto exchange<\/strong>, for USD, EUR, or any other traditional currency, and then transferring it to your bank account.<\/p>\n<p>Now, for the sake of covering every possible major scenario, I’ll talk about two different situations - first, I’ll assume that you’ve read the previous section about buying crypto, and already have cryptocurrency on an exchange platform, and later, I’ll also talk about what to do if you’re crypto is stored in a wallet somewhere.<\/p>\n<p>Assuming that you’re already registered on a cryptocurrency exchange, have passed all of the required <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//kyc-crypto/">KYC & AML<\/strong><\/a> checks, and have your account all set up, with crypto assets on it, the <em>“cashing out”<\/em> part is actually really simple to do… In most cases.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Trade and withdraw.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_01.jpg/" alt=\"Fiat to crypto: Trade and withdraw.\" width=\"1000\" height=\"1080\" \/><\/p>\n<p>You see, there’s a pretty good chance that all that you really need to do is sell your crypto on the exchange, for the currency of your choice, and then use the withdrawal feature on the platform! <strong>Most high-end exchanges will allow you to pick and choose the withdrawal method<\/strong>, but if you already have, say, the debit card that you used to buy crypto added to the exchange, you can click a few buttons, and wait for the money to reach your bank account.<\/p>\n<p><em>Is it really that simple?<\/em> Actually, yes - it is! You will naturally need to decide how much crypto you want to sell VS if you want to keep any on the exchange, but other than that, chances are that your process of turning crypto into fiat money is going to be very quick, simple, and straightforward.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Buy, transfer, withdraw.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_02.jpg/" alt=\"Fiat to crypto: Buy, transfer, withdraw.\" width=\"1000\" height=\"874\" \/><\/p>\n<p><strong>Now, there’s another scenario<\/strong> where the exchange that you’re using might allow you to BUY crypto via a bank transfer or credit & debit cards (turn fiat to crypto), but doesn’t support an actual WITHDRAWAL feature, in fiat money. Some years back, this used to be the case somewhat often - there were but a handful of reliable exchanges that would allow you to <em>“cash out”<\/em>, so to speak.<\/p>\n<p>Nowadays, this is a much rarer occurrence - but it still does happen! So, what should you do in a situation like this?<\/p>\n<p>Well, there are two options - one is a bit simpler, and involves exchange platforms, while the other involves actually meeting other people. We’ll cross that bridge when we get there, though - for now, let’s focus on the first option.<\/p>\n<p><strong>Your first step is to find a cryptocurrency exchange<\/strong>, other than the one you’re currently using, and one that allows its clients to withdraw fiat money into their bank accounts. Once again, doing so shouldn’t prove to be difficult - most of the top-tier exchanges have this functionality!<\/p>\n<p>Once you find an exchange like this, however, you will then need to register on it, pass the KYC checks, and transfer your crypto from the current exchange to the new one. Here, you will be able to sell it, and after adding a valid payment method, cash out!<\/p>\n<p>Now, I admit - all of that sounds a bit convoluted, when you just machine-gun it out loud like that. But, I assure you - the process is actually much simpler than it looks, in reality! There are two things that you should pay the most attention to - <strong>picking an appropriate exchange, and ensuring that your crypto transfer is safe and correct<\/strong>. If these are topics that you’d like more information about, there are dedicated sections covering <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-do-cryptocurrency-exchanges-work/">crypto exchanges<\/strong><\/a> and <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//blockchain-transaction/">blockchain transactions<\/strong><\/a> on this Crypto 101 Handbook - check them out!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Wallet.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_03.jpg/" alt=\"Fiat to crypto: Wallet.\" width=\"1000\" height=\"743\" \/><\/p>\n<p>Now, another potential scenario might be that you’re <strong>holding your cryptocurrencies in a wallet<\/strong> - a separate piece of software or hardware that has nothing to do with an exchange. If that’s the case, all that you need to do is transfer your crypto from the wallet to a designated exchange platform of your choice, and sell it there. It’s similar to transferring your money from a bank account to an exchange, in a fiat VS crypto way!<\/p>\n<p>Note, though, that there’s a potential alternative route, as well - some wallets have built-in tools that would allow you to sell crypto, straight from the wallet! This depends on what wallet it is that you’re using, but if your crypto storage supports a feature like this, it’s definitely worth considering, since you skip out on a lot of steps!<\/p>\n<h2>Turning Crypto Into Fiat: The In-Person Meetup Method<\/h2>\n<p>Continuing on, up to this point, we’ve discussed the <em>“easy”<\/em>, or <em>“preferable”<\/em> methods of turning crypto into cash - all you need is an exchange, and a valid withdrawal method, and you’re set! Well, that’s assuming that you’ve already bought crypto, and know how exchanges work, in the first place - if that’s still something you’re feeling iffy about, make sure to read a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-do-cryptocurrency-exchanges-work/">dedicated section<\/strong><\/a> about it before moving on whit this one!<\/p>\n<p>Now, there’s another approach that you could take, as well - one that involves<strong> meeting other people, and selling your crypto in the real world<\/strong>.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: The in-person meetup method.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_04.jpg/" alt=\"Fiat to crypto: The in-person meetup method.\" width=\"1000\" height=\"632\" \/><\/p>\n<p>Straight off the bat, let me just say - <strong>I do NOT recommend doing this<\/strong>, neither for fiat-to-crypto, nor crypto-to-fiat conversion purposes! With crypto transactions becoming simpler and faster to perform, on exchanges, there really is no major reason why you would go through all of that effort of meeting another individual, and performing the transaction this way.<\/p>\n<p>Well, maybe there is one reason - if you’re really adamant about <strong>preserving your anonymity<\/strong>.<\/p>\n<p>Think about it this way - say, you’ve never bought any crypto, and are not registered on any type of exchange platform. Yet, you already own cryptocurrency - maybe a friend sent it to you, or someone paid you for your awesome drawing in crypto tokens? Whatever the case might be, you’re at a point where you want to turn your crypto into fiat money.<\/p>\n<p>However, you are really serious about your privacy, and thus, registering on a cryptocurrency exchange, and providing it with all of your sensitive information just doesn’t sound appealing to you. In a situation like this, your only real other option is to find a potential buyer from your area, meet them, and make the transaction.<\/p>\n<p>If, for any reason, you do decide that an in-person transaction is <em>“the way to go”<\/em>, there are a few things that you need to be aware of. First and foremost, <strong>never go alone<\/strong> - always bring at least one other friend, to keep you company and provide that extra safety.<\/p>\n<p>Secondly, <strong>make sure to meet the buyer in a public place<\/strong>, like the mall or a coffee shop. This will make you both feel easier about the meeting, since there will be other people around.<\/p>\n<p>Lastly, if you’re accepting cash for your crypto, you should <strong>carry a fake-money checking machine with you<\/strong>. This way, you’ll be able to check the money on the spot, and won’t need to worry about potentially being scammed.<\/p>\n<p>Let me reiterate, though - in-person crypto sales are a very specific, niche scenario that, in the vast majority of cases, isn’t the recommended thing to do. Instead, you’re much better off going the traditional, exchange route.<\/p>\n<h2>Don’t Forget the Taxes!<\/h2>\n<p>Now that you know how to turn crypto into fiat money, it would be very irresponsible of me to let you go without talking about one last thing. And, it’s actually a topic that everyone in the crypto space are really excited about - taxes!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Don't forget taxes.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_05.jpg/" alt=\"Fiat to crypto: Don't forget taxes.\" width=\"1000\" height=\"504\" \/><\/p>\n<p>Well, maybe it’s not the most exciting topic that one might think of, but it’s definitely a huge and important point that needs to be considered, when you’re dealing with buying and selling crypto.<\/p>\n<p>No matter if you sell cryptocurrencies on an exchange, directly from your wallet, in person, or in any other way imaginable, <strong>your sale will be considered a taxable event<\/strong>. Thus, you should take some time out of your day, make a cup of coffee, sit down, and really look into the specifics of crypto taxation in your country.<\/p>\n<p>What I’m getting at is simple - while you might have made an awesome profit from your initial crypto investment, part of that profit will likely need to be paid, as taxes! Of course, when you’re performing an in-person transaction, things become much more complicated - you need to declare the sale yourself, and there’s no exchange to pull the data from, at the end of the tax year.<\/p>\n<p>Just one more reason to stay safe, and only buy and sell crypto on reliable, trusted cryptocurrency exchange platforms!<\/p>\n<p>Now, if you’re really concerned about the crypto taxes, and are looking for every possible legal solution of how to minimize them, <strong>I highly recommend checking out <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-to-avoid-crypto-taxes/">this section<\/a> on how to avoid cryptocurrency taxes - legally, of course<\/strong>! Maybe you’ll be eligible for a tax reduction, or perhaps there’s some other, specific law in your region, that will allow you to save a lot of money on taxes?<\/p>\n<p>That being said, it's about all the basic information you need to know as a crypto beginner. Just remember - <strong>the best way to convert crypto to fiat is via a trusted, reliable exchange platform<\/strong>.<\/p>","definition":"Did you know that most high-end crypto exchanges allow you to easily withdraw your fiat money back to your bank account?","status":"published","meta_title":"How to Turn Fiat to Crypto and Vice Versa","meta_description":"Don't know how to turn your fiat to crypto, and the other way around? Right here, you'll find everything about crypto to fiat redemption.","meta_keywords":"fiat to crypto, fiat vs crypto, fiat to crypto exchange, best way to convert crypto to fiat","modified_content":"<p>In this section, we’re going to talk about <strong>how to turn your <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-fiat/">fiat to crypto, and vice versa!<\/strong><\/p>\n<p>Recently, I wrote a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-to-buy-crypto/">section about buying cryptocurrency, for the very first time. If you haven’t read it, make sure to check it out! In that section, I went through the steps that you would need to take in order to become a proud owner of crypto!<\/p>\n<p>What if you already have your crypto, and are ready to take some profits - in other words, you want to cash out? Is it as simple to do as when you buy crypto, or are there some extra steps involved? You'll find answers to all of those questions (and more) in this section!<\/p>\n<p>So, in this section, we’re going to talk about turning crypto into fiat money, and fiat to crypto. I’ll tell you about the best ways to convert crypto to fiat, in a step-by-step manner!<\/p>\n<p><em>Let’s get right to it, then!<\/em><\/p>\n<div class=\"container\">\n <div class=\"row justify-content-center\">\n <div class=\"col-md-10 suggested-comparisons pb-3 mb-4\">\n <div class=\"d-flex flex-row\">\n <div class=\"text-center\">\n <div class=\"img-block-yt\">\n <img src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//assets//images//compare-crypto-exchanges.gif/"/n alt=\"4 Ways to Turn Fiat to Crypto VS Crypto to Fiat (Easily Explained)\"\n title=\"4 Ways to Turn Fiat to Crypto VS Crypto to Fiat (Easily Explained)\" class=\"border-0\">\n <p>Video Explainer<\/p>\n <\/div>\n <\/div>\n <div class=\"col-xs-10 col-sm-10 col-md-10 text-left py-3 yt-info\">\n <h4 class=\"mb-1\">Video Explainer: Taking Profits: Turning Crypto Into Fiat<\/h4>\n <p class=\"py-1 mb-0 youtube-video-subtitle\">Reading is not your thing? Watch the \"Taking Profits: Turning Crypto Into Fiat\" video explainer<\/p>\n <\/div>\n <\/div>\n <div class=\"row justify-content-center text-center\">\n <div class=\"col-12 col-md-11 px-3\">\n <div class=\"wrapper mb-0\">\n <div class=\"position-relative youtube mb-4 bg-transparent p-0 video-modal-popup\" data-toggle=\"modal\"\n data-target=\"#video-modal\" data-id=\"AiQfGSEhxmg\" data-title=\"CryptoFinallyExplained\">\n <div class=\"video-gradient-top\"><\/div>\n <p class=\"text-left dyk-video-title\">4 Ways to Turn Fiat to Crypto VS Crypto to Fiat (Easily Explained)<\/p>\n <img data-srcset=\"https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/4-ways-to-turn-fiat-to-crypto-vs-crypto-to-fiat-easily-explained.jpg?tr=w-420 500w,\n https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/4-ways-to-turn-fiat-to-crypto-vs-crypto-to-fiat-easily-explained.jpg?tr=w-760 1000w\"\n alt=\"4 Ways to Turn Fiat to Crypto VS Crypto to Fiat (Easily Explained)\"\n title=\"4 Ways to Turn Fiat to Crypto VS Crypto to Fiat (Easily Explained)\"\n class=\"p-0 lazyload\">\n <img class=\"play-button lazyload\" data-target=\"#video-modal\"\n data-src=\"https:\/\/assets.bitdegree.org\/crypto\/assets\/video-button.png?tr=w-85\"\n alt=\"4 Ways to Turn Fiat to Crypto VS Crypto to Fiat (Easily Explained)\">\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n <div class=\"row justify-content-center text-center\">\n <div>\n <a href=https://www.bitdegree.org/"https:////www.youtube.com//c//CryptoFinallyExplained?sub_confirmation=1\%22\n class=\"btn yt-promo mb-2\" target=\"_blank\" rel=\"nofollow noopener noindex\">\n <div class=\"row justify-content-center align-items-center mx-0 text-center\">\n <div class=\"col-4 col-md-4\">\n <i class=\"fab fa-youtube yt-dyk-btn\"><\/i>\n <\/div>\n <div class=\"col-8 col-md-8 text-center yt-promo-text\">\n <h4 class=\"m-0 text-white\">SUBSCRIBE<\/h4>\n <span>ON YOUTUBE<\/span>\n <\/div>\n <\/div>\n <\/a>\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n<\/div>\n<div class=\"modal fade\" id=\"video-modal\" tabindex=\"-1\" role=\"dialog\">\n <div class=\"modal-dialog modal-dialog-centered modal-lg\" role=\"document\">\n <div class=\"modal-content\">\n <div class=\"modal-body p-0\">\n <button type=\"button\" class=\"video-modal-close close\" data-dismiss=\"modal\" aria-label=\"Close\">\n <i aria-hidden=\"true\" class=\"fas fa-times\"><\/i>\n <\/button>\n <div id=\"iframe\"><\/div>\n <\/div>\n <a class=\"text-decoration-none\"\n href=https://www.bitdegree.org/"https:////www.youtube.com//c//CryptoFinallyExplained?sub_confirmation=1\%22\n rel=\"nofollow noopener noindex\" target=\"_blank\">\n <div class=\"modal-footer p-0 d-block bg-white\">\n <div class=\"row justify-content-center m-0\">\n <div class=\"col-3 col-md-4 col-lg-2 p-0\">\n <img class=\"w-100 h-100\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//assets//crypto-subscribe.jpg/" alt=\"Subscribe\">\n <\/div>\n <div class=\"col-9 col-md-8 col-lg-2 px-0 d-flex\">\n <div class=\"modal-subscribe w-100\">\n <p class=\"m-0 mt-1 mr-3\">SUBSCRIBE<br>\n <span class=\"m-0\">ON YOUTUBE<\/span>\n <\/p>\n <\/div>\n <\/div>\n <div class=\"col-12 col-md-12 col-lg-8 p-0 text-center d-flex justify-content-center align-items-center\">\n <div class=\"modal-subscribe-text\">\n <h4 class=\"m-0\">Understand crypto with ease<\/h4>\n <span>New explainer videos every week!<\/span>\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n <\/a>\n <\/div>\n <\/div>\n<\/div>\n<h2>Turning Crypto Into Fiat: The Exchange Method<\/h2>\n<p>So, while there are a few different ways of how you can turn fiat to crypto, and then crypto into fiat money, we’ll start off with the most obvious one - <strong>selling your cryptocurrency on a fiat-to-crypto exchange<\/strong>, for USD, EUR, or any other traditional currency, and then transferring it to your bank account.<\/p>\n<p>Now, for the sake of covering every possible major scenario, I’ll talk about two different situations - first, I’ll assume that you’ve read the previous section about buying crypto, and already have cryptocurrency on an exchange platform, and later, I’ll also talk about what to do if you’re crypto is stored in a wallet somewhere.<\/p>\n<p>Assuming that you’re already registered on a cryptocurrency exchange, have passed all of the required <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//kyc-crypto/">KYC & AML<\/strong><\/a> checks, and have your account all set up, with crypto assets on it, the <em>“cashing out”<\/em> part is actually really simple to do… In most cases.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Trade and withdraw.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_01.jpg/" alt=\"Fiat to crypto: Trade and withdraw.\" width=\"1000\" height=\"1080\" \/><\/p>\n<p>You see, there’s a pretty good chance that all that you really need to do is sell your crypto on the exchange, for the currency of your choice, and then use the withdrawal feature on the platform! <strong>Most high-end exchanges will allow you to pick and choose the withdrawal method<\/strong>, but if you already have, say, the debit card that you used to buy crypto added to the exchange, you can click a few buttons, and wait for the money to reach your bank account.<\/p>\n<p><em>Is it really that simple?<\/em> Actually, yes - it is! You will naturally need to decide how much crypto you want to sell VS if you want to keep any on the exchange, but other than that, chances are that your process of turning crypto into fiat money is going to be very quick, simple, and straightforward.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Buy, transfer, withdraw.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_02.jpg/" alt=\"Fiat to crypto: Buy, transfer, withdraw.\" width=\"1000\" height=\"874\" \/><\/p>\n<p><strong>Now, there’s another scenario<\/strong> where the exchange that you’re using might allow you to BUY crypto via a bank transfer or credit & debit cards (turn fiat to crypto), but doesn’t support an actual WITHDRAWAL feature, in fiat money. Some years back, this used to be the case somewhat often - there were but a handful of reliable exchanges that would allow you to <em>“cash out”<\/em>, so to speak.<\/p>\n<p>Nowadays, this is a much rarer occurrence - but it still does happen! So, what should you do in a situation like this?<\/p>\n<p>Well, there are two options - one is a bit simpler, and involves exchange platforms, while the other involves actually meeting other people. We’ll cross that bridge when we get there, though - for now, let’s focus on the first option.<\/p>\n<p><strong>Your first step is to find a cryptocurrency exchange<\/strong>, other than the one you’re currently using, and one that allows its clients to withdraw fiat money into their bank accounts. Once again, doing so shouldn’t prove to be difficult - most of the top-tier exchanges have this functionality!<\/p>\n<p>Once you find an exchange like this, however, you will then need to register on it, pass the KYC checks, and transfer your crypto from the current exchange to the new one. Here, you will be able to sell it, and after adding a valid payment method, cash out!<\/p>\n<p>Now, I admit - all of that sounds a bit convoluted, when you just machine-gun it out loud like that. But, I assure you - the process is actually much simpler than it looks, in reality! There are two things that you should pay the most attention to - <strong>picking an appropriate exchange, and ensuring that your crypto transfer is safe and correct<\/strong>. If these are topics that you’d like more information about, there are dedicated sections covering <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-do-cryptocurrency-exchanges-work/">crypto exchanges<\/strong><\/a> and <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//blockchain-transaction/">blockchain transactions<\/strong><\/a> on this Crypto 101 Handbook - check them out!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Wallet.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_03.jpg/" alt=\"Fiat to crypto: Wallet.\" width=\"1000\" height=\"743\" \/><\/p>\n<p>Now, another potential scenario might be that you’re <strong>holding your cryptocurrencies in a wallet<\/strong> - a separate piece of software or hardware that has nothing to do with an exchange. If that’s the case, all that you need to do is transfer your crypto from the wallet to a designated exchange platform of your choice, and sell it there. It’s similar to transferring your money from a bank account to an exchange, in a fiat VS crypto way!<\/p>\n<p>Note, though, that there’s a potential alternative route, as well - some wallets have built-in tools that would allow you to sell crypto, straight from the wallet! This depends on what wallet it is that you’re using, but if your crypto storage supports a feature like this, it’s definitely worth considering, since you skip out on a lot of steps!<\/p>\n<h2>Turning Crypto Into Fiat: The In-Person Meetup Method<\/h2>\n<p>Continuing on, up to this point, we’ve discussed the <em>“easy”<\/em>, or <em>“preferable”<\/em> methods of turning crypto into cash - all you need is an exchange, and a valid withdrawal method, and you’re set! Well, that’s assuming that you’ve already bought crypto, and know how exchanges work, in the first place - if that’s still something you’re feeling iffy about, make sure to read a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-do-cryptocurrency-exchanges-work/">dedicated section<\/strong><\/a> about it before moving on whit this one!<\/p>\n<p>Now, there’s another approach that you could take, as well - one that involves<strong> meeting other people, and selling your crypto in the real world<\/strong>.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: The in-person meetup method.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_04.jpg/" alt=\"Fiat to crypto: The in-person meetup method.\" width=\"1000\" height=\"632\" \/><\/p>\n<p>Straight off the bat, let me just say - <strong>I do NOT recommend doing this<\/strong>, neither for fiat-to-crypto, nor crypto-to-fiat conversion purposes! With crypto transactions becoming simpler and faster to perform, on exchanges, there really is no major reason why you would go through all of that effort of meeting another individual, and performing the transaction this way.<\/p>\n<p>Well, maybe there is one reason - if you’re really adamant about <strong>preserving your anonymity<\/strong>.<\/p>\n<p>Think about it this way - say, you’ve never bought any crypto, and are not registered on any type of exchange platform. Yet, you already own cryptocurrency - maybe a friend sent it to you, or someone paid you for your awesome drawing in crypto tokens? Whatever the case might be, you’re at a point where you want to turn your crypto into fiat money.<\/p>\n<p>However, you are really serious about your privacy, and thus, registering on a cryptocurrency exchange, and providing it with all of your sensitive information just doesn’t sound appealing to you. In a situation like this, your only real other option is to find a potential buyer from your area, meet them, and make the transaction.<\/p>\n<p>If, for any reason, you do decide that an in-person transaction is <em>“the way to go”<\/em>, there are a few things that you need to be aware of. First and foremost, <strong>never go alone<\/strong> - always bring at least one other friend, to keep you company and provide that extra safety.<\/p>\n<p>Secondly, <strong>make sure to meet the buyer in a public place<\/strong>, like the mall or a coffee shop. This will make you both feel easier about the meeting, since there will be other people around.<\/p>\n<p>Lastly, if you’re accepting cash for your crypto, you should <strong>carry a fake-money checking machine with you<\/strong>. This way, you’ll be able to check the money on the spot, and won’t need to worry about potentially being scammed.<\/p>\n<p>Let me reiterate, though - in-person crypto sales are a very specific, niche scenario that, in the vast majority of cases, isn’t the recommended thing to do. Instead, you’re much better off going the traditional, exchange route.<\/p>\n<h2>Don’t Forget the Taxes!<\/h2>\n<p>Now that you know how to turn crypto into fiat money, it would be very irresponsible of me to let you go without talking about one last thing. And, it’s actually a topic that everyone in the crypto space are really excited about - taxes!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"Fiat to crypto: Don't forget taxes.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//crypto_to_fiat_05.jpg/" alt=\"Fiat to crypto: Don't forget taxes.\" width=\"1000\" height=\"504\" \/><\/p>\n<p>Well, maybe it’s not the most exciting topic that one might think of, but it’s definitely a huge and important point that needs to be considered, when you’re dealing with buying and selling crypto.<\/p>\n<p>No matter if you sell cryptocurrencies on an exchange, directly from your wallet, in person, or in any other way imaginable, <strong>your sale will be considered a taxable event<\/strong>. Thus, you should take some time out of your day, make a cup of coffee, sit down, and really look into the specifics of crypto taxation in your country.<\/p>\n<p>What I’m getting at is simple - while you might have made an awesome profit from your initial crypto investment, part of that profit will likely need to be paid, as taxes! Of course, when you’re performing an in-person transaction, things become much more complicated - you need to declare the sale yourself, and there’s no exchange to pull the data from, at the end of the tax year.<\/p>\n<p>Just one more reason to stay safe, and only buy and sell crypto on reliable, trusted cryptocurrency exchange platforms!<\/p>\n<p>Now, if you’re really concerned about the crypto taxes, and are looking for every possible legal solution of how to minimize them, <strong>I highly recommend checking out <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//how-to-avoid-crypto-taxes/">this section<\/a> on how to avoid cryptocurrency taxes - legally, of course<\/strong>! Maybe you’ll be eligible for a tax reduction, or perhaps there’s some other, specific law in your region, that will allow you to save a lot of money on taxes?<\/p>\n<p>That being said, it's about all the basic information you need to know as a crypto beginner. Just remember - <strong>the best way to convert crypto to fiat is via a trusted, reliable exchange platform<\/strong>.<\/p>","youtube_video":{"id":45,"channel_id":1,"sort":51,"video_title":"4 Ways to Turn Fiat to Crypto VS Crypto to Fiat (Easily Explained)","description":"Whether you\u2019re a cryptocurrency trader or investor who has turned fiat to crypto, there comes a time when it\u2019s a good idea to take some profits, and cash out. However, in order to do so, you need to be aware of how to turn crypto into fiat money, in a fast and safe manner. \n\nIn this video, I am going to tell you how to do just that. We\u2019ll talk about the best ways to turn crypto to fiat, both when it comes to traditional cryptocurrency exchanges, as well as some other, alternative methods.\n\nHow often do you take profits from your crypto investments? Share you experiences, in the comments below!\n\nVideo Time Table:\n\n0:00 Intro to Turning Fiat to Crypto & Crypto to Fiat\n0:55 Using a Crypto Exchange\n4:35 In-Person Transaction Method\n6:26 Crypto to Fiat & Fiat to Crypto: Taxes\n7:42 Wrap-up: Turning Fiat to Crypto & Crypto to Fiat\n\nGet Quick Crypto Tips on Twitter - Follow:\nhttps:\/\/twitter.com\/crypto_xplained\n\n#FiatToCrypto #FiatVsCrypto #CryptoToFiat","video_id":"AiQfGSEhxmg","duration":485,"view_count":389,"thumbnail_url":"https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/4-ways-to-turn-fiat-to-crypto-vs-crypto-to-fiat-easily-explained.jpg","thumbnail_width":1280,"thumbnail_height":720,"published_at":"2022-12-29T16:08:37.000000Z","created_at":"2022-12-29T23:00:03.000000Z","updated_at":"2024-01-09T23:00:04.000000Z","channel":{"id":1,"title":"CryptoFinallyExplained","channel_id":"UCOryUY0yxC08eJtK23mNgiA","main_playlist_id":"UUOryUY0yxC08eJtK23mNgiA"}}}" :prev-section="{"id":362,"chapter_id":3,"order":4,"featured_image_id":null,"youtube_video_id":43,"author_id":1,"created_at":"2022-11-08T13:13:18.000000Z","updated_at":"2023-12-22T09:42:12.000000Z","slug":"kyc-crypto","title":"KYC & AML: The Key to Complying With Legal Industry Standards","content":"<p> In this section, we’re going to talk about <strong>what is KYC in crypto<\/strong>!<\/p>\n<p>Cryptocurrencies are a very exciting topic to explore - it seems like every day, there’s an innovative, industry-breaking concept being introduced with blockchain tech. To add to that, this industry is absolutely unpredictable - one day, you have <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-memecoin/">meme tokens<\/strong><\/a> ruling the market, while the next, you have Elon Musk planning to put an actual, physical <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//buy-dogecoin-doge/">Dogecoin on the actual Moon!<\/p>\n<p>There is, however, a less-exciting side to crypto, as well - one that has to do with regulations, investigations, and general bureaucratic processes. While it may not be as fun or cool as the aforementioned concepts, this side of crypto is still very important to understand, for any avid crypto enthusiast. And, <strong>this is where the concepts of AML & KYC crypto reside<\/strong>, as well.<\/p>\n<p>So, in this section, we’re going to talk about AML & KYC in crypto. I will tell you what these terms mean, and explain them in the context of crypto. Then, we’ll also talk about the one, major controversy that surrounds them - make sure to stick around for this!<\/p>\n<p><em>Now, then - let’s get to it!<\/em><\/p>\n<h2>What is KYC & AML?<\/h2>\n<p>So, to start things off, let’s first establish what does KYC mean in crypto, as well as where does AML come in, too.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: What is KYC&AML?\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_01.jpg/" alt=\"KYC crypto: What is KYC&AML?\" width=\"1000\" height=\"967\" \/><\/p>\n<p>Both of the terms in question are abbreviations - KYC stands for <strong>“Know Your Customer”<\/strong>, while AML is <strong>“Anti-Money Laundering”<\/strong>. As you might have guessed already, both concepts are also related to cryptocurrency regulation.<\/p>\n<p>These terms are, admittedly, often used interchangeably. However, that’s not entirely the correct thing to do - <strong>you can think of AML crypto as a broad set of rules, one of which is KYC<\/strong>. There are other things that make up the Anti-Money Laundering concept, but, in this section, we’ll focus exclusively on KYC.<\/p>\n<p>So, as far as the Know Your Customer regulations are concerned, the idea behind them is quite simple, really. If you’ve ever used a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-centralized-exchange-cex/">centralized cryptocurrency exchange<\/strong><\/a>, you probably know the drill - once you register on the exchange, and set up your profile, you still won’t be able to trade any cryptocurrencies until you’ve provided the exchange platform with some personal identification data of yourself.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Know Your Customer.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_02.jpg/" alt=\"KYC crypto: Know Your Customer.\" width=\"1000\" height=\"753\" \/><\/p>\n<p>That’s exactly what KYC is, from the user’s perspective - <strong>a form of identity verification<\/strong>, so that the exchange would know that it’s actually YOU who’s doing the trading and crypto acquisition. It usually includes a photo of your ID, a selfie, your residential address (and proof of residency, as well), information about your financial background, and so on.<\/p>\n<p>Note that it’s possible to learn how to buy crypto without KYC, as well. This is usually done via <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-decentralized-exchange-dex/">decentralized exchange platforms<\/strong><\/a>, or non-KYC crypto exchanges. That said, these exchanges are usually quite complex - if you want to learn more, check out <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//dex-vs-cex/">the section dedicated to this topic<\/strong><\/a>!<\/p>\n<p><strong>KYC & AML crypto compliance isn’t exclusive to cryptocurrency exchanges, however!<\/strong> All mainstream financial platforms must abide by strict Know Your Customer regulations, and identify their clients upon them registering on said platforms.<\/p>\n<p>Here’s an example, to allow you to understand this easier: imagine that you decide to open up a new bank account, with a completely different bank from your current one. You go to the bank’s official website, fill out all of the boring paperwork, and set everything up. Now, part of your registration process will include KYC checks and verifications.<\/p>\n<p><strong>Why so? Well, there are a few big reasons. <\/strong>First, what if it’s not you who’s opening the bank account, but someone who’s impersonating you, with fake documents and IDs? In real life, this is quite simple to determine - if you’re opening a bank account online, though, it becomes much more difficult!<\/p>\n<p>Secondly, what if you have a lot of debt, or are someone who possesses a really rough financial past? The banking institution needs to know about all of these things, so that they could then partake in complex risk management processes, and act accordingly.<\/p>\n<p>Lastly, what if you’re an actual wanted criminal? Allowing a person like that to open a bank account, fill it with funds, and then perform transactions could mean terrible things! All of these things - and many more - make KYC a crucial element in having a safe financial system (as much as it is possible).<\/p>\n<p>Everything that I’ve just mentioned applies to cryptocurrency exchanges and other crypto-related services, as well. However, with crypto still being a bit Wild West-ish, <strong>the mandatory KYC verification checks present on exchange platforms are often less intrusive<\/strong> than those that you’ll find with traditional financial institutions.<\/p>\n<p>In regards to AML - or, Anti-Money Laundering - in crypto, you can view it as a sort of an umbrella term for all of the things that exchange platforms do, in order to comply with the legal industry standards and requirements. So, in this case, <strong>KYC is just a single element of AML<\/strong> - in addition to that, cryptocurrency exchanges are constantly surveilling their client activities, flagging questionable actions, freezing accounts, complying with the FBI and other law enforcement, and so on.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Anti-Money Laundering.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_03.jpg/" alt=\"KYC crypto: Anti-Money Laundering.\" width=\"1000\" height=\"476\" \/><\/p>\n<p>Feeling confused about what is KYC in crypto, as well as AML crypto compliance? Think of it this way - <strong>if KYC is an apple, then AML is an entire apple pie<\/strong>. Apples are a key part of the recipe, yes, but there are plenty of other ingredients that go into making that pie!<\/p>\n<p>Both KYC & AML are quite difficult topics, and require a lot of crypto knowledge in order to be grasped, fully. If you’re looking to educate yourself more about all-things-crypto, check other sections on this Crypto 101 Handbook - there are chapters covering everything from the crypto basics, all the way to the more-advanced stuff!<\/p>\n<h2>The Big Controversy Surrounding Crypto KYC & AML<\/h2>\n<p>Now that you have a pretty good idea of what are KYC & AML, and how they work in the context of crypto, let’s move on to discussing <strong>“the big controversy”<\/strong> that these concepts find themselves in, within the cryptocurrency space.<\/p>\n<p>Let me start off by asking you this - do you think KYC & AML are important and needed, when it comes to crypto? Now, while I can’t really hear your answer, I bet that everyone reading this section will have very different opinions on the topic.<\/p>\n<p>In order to understand this fully, though, we must take a step back and look at the core values of cryptocurrency technology. Specifically, I’m talking about <strong>decentralization and anonymity<\/strong> - while you can <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//decentralized-blockchain/">check out a section<\/strong><\/a> on these two concepts, to put it short, they are at the very center of crypto tech, and are considered to be the key to crypto's success, in a very general sense.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Decentralization and anonymity.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_04.jpg/" alt=\"KYC crypto: Decentralization and anonymity.\" width=\"1000\" height=\"509\" \/><\/p>\n<p>Now, what’s the opposite of decentralization and anonymity? That’s right - identifying yourself to a centralized cryptocurrency exchange (or other services), and revealing personal information about yourself, your financials, and your life, in general.<\/p>\n<p>You can probably see where I’m going with this.<\/p>\n<p><strong>Currently, there are two big groups of people in the crypto space <\/strong>- those who believe that crypto should remain completely decentralized and anonymity-preserving, and others who are a bit more liberal with their approach, and welcome KYC crypto and other regulations as a mandatory part of the “crypto going mainstream” process.<\/p>\n<p>That’s kind of the kicker here, as well - it’s very easy to say that <em>“crypto should remain decentralized and regulation-free!”<\/em>, without evaluating what this means, on a bigger scale. Essentially, <strong>if you were to take KYC and AML out of crypto<\/strong>, completely, you would be eliminating centralized exchanges and other services, a huge array of major projects, as well as basically destroying the possibility for this asset class to become mainstream and massively adopted, for the foreseeable future.<\/p>\n<p>Some people believe that this would essentially result in a <strong>cryptocurrency ice age<\/strong>. It’s a pretty bold statement, that’s true, but when you think about it, it makes sense - without any regulatory frameworks, crypto would be banned essentially everywhere, since no company or government would risk interacting with it, and being liable for any criminal activities that might be happening within the space.<\/p>\n<h2>The Future of KYC & AML in Crypto<\/h2>\n<p>Now, I admit - I really threw you into the deep end there! But, as complex as this topic might appear to be, it’s important to understand that <strong>things are NEVER black and white<\/strong> - KYC & AML crypto exchanges, as well as other services, aren’t an exception, either.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Crypto exchanges.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_05.jpg/" alt=\"KYC crypto: Crypto exchanges.\" width=\"1000\" height=\"325\" \/><\/p>\n<p>Every single day, the global crypto community is looking for viable compromises - ways of how to increase the mass adoption of crypto and blockchain technology, while still retaining as much of the earlier-mentioned traditional values as possible. It’s definitely not a simple problem to solve, and it also heavily depends on the region where you reside, as well! Some parts of the world are very open to crypto, while others aim to outright ban it.<\/p>\n<p>These days, the general global focus appears to lie on <strong>increasing the reputability and security features of cryptocurrency service providers<\/strong> - centralized exchanges, lending and borrowing platforms, interest-earning projects, and so on. This is because even those crypto enthusiasts who agree that some form of KYC is mandatory for the space are skeptical about just how safe their personal information is with said platforms.<\/p>\n<p>It makes sense, when you think about it! As I’ve mentioned previously, traditional financial institutions are regulated rather strictly. With crypto exchanges, for example, <strong>the regulations are usually a bit more “up in the air”<\/strong>, which makes some exchange platforms become too relaxed on their policies. Then, if some security vulnerability occurs on one of such exchanges, the information you’ve provided to the platform could be at risk of getting leaked and stolen!<\/p>\n<p>Once again - these are very serious, as well as difficult problems to solve! However, they do impact the general ecosystem of the cryptocurrency market, and can really influence new technologies and the prices of your favorite crypto assets, too. If you are looking to become knowledgeable with crypto, KYC & AML issues are something that you really need to look into and understand!<\/p>","definition":"Did you know that concepts like KYC and AML come from traditional finance?","status":"published","meta_title":"What is AML and KYC in Crypto?","meta_description":"Trying to figure out what AML and KYC crypto concepts stand for in the cryptocurrency world? You'll find a thorough explanation right here!","meta_keywords":"kyc crypto, kyc meaning crypto, what is kyc crypto, kyc crypto meaning, non kyc crypto exchanges, what does kyc mean in crypto, aml crypto, crypto aml compliance, aml crypto exchange, how to buy crypto without kyc","modified_content":"<p> In this section, we’re going to talk about <strong>what is KYC in crypto<\/strong>!<\/p>\n<p>Cryptocurrencies are a very exciting topic to explore - it seems like every day, there’s an innovative, industry-breaking concept being introduced with blockchain tech. To add to that, this industry is absolutely unpredictable - one day, you have <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-memecoin/">meme tokens<\/strong><\/a> ruling the market, while the next, you have Elon Musk planning to put an actual, physical <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//buy-dogecoin-doge/">Dogecoin on the actual Moon!<\/p>\n<p>There is, however, a less-exciting side to crypto, as well - one that has to do with regulations, investigations, and general bureaucratic processes. While it may not be as fun or cool as the aforementioned concepts, this side of crypto is still very important to understand, for any avid crypto enthusiast. And, <strong>this is where the concepts of AML & KYC crypto reside<\/strong>, as well.<\/p>\n<p>So, in this section, we’re going to talk about AML & KYC in crypto. I will tell you what these terms mean, and explain them in the context of crypto. Then, we’ll also talk about the one, major controversy that surrounds them - make sure to stick around for this!<\/p>\n<p><em>Now, then - let’s get to it!<\/em><\/p>\n<div class=\"container\">\n <div class=\"row justify-content-center\">\n <div class=\"col-md-10 suggested-comparisons pb-3 mb-4\">\n <div class=\"d-flex flex-row\">\n <div class=\"text-center\">\n <div class=\"img-block-yt\">\n <img src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//assets//images//compare-crypto-exchanges.gif/"/n alt=\"How Do KYC & AML Work in Crypto? (Explained)\"\n title=\"How Do KYC & AML Work in Crypto? (Explained)\" class=\"border-0\">\n <p>Video Explainer<\/p>\n <\/div>\n <\/div>\n <div class=\"col-xs-10 col-sm-10 col-md-10 text-left py-3 yt-info\">\n <h4 class=\"mb-1\">Video Explainer: KYC & AML: The Key to Complying With Legal Industry Standards<\/h4>\n <p class=\"py-1 mb-0 youtube-video-subtitle\">Reading is not your thing? Watch the \"KYC & AML: The Key to Complying With Legal Industry Standards\" video explainer<\/p>\n <\/div>\n <\/div>\n <div class=\"row justify-content-center text-center\">\n <div class=\"col-12 col-md-11 px-3\">\n <div class=\"wrapper mb-0\">\n <div class=\"position-relative youtube mb-4 bg-transparent p-0 video-modal-popup\" data-toggle=\"modal\"\n data-target=\"#video-modal\" data-id=\"R7_AAWBb8N0\" data-title=\"CryptoFinallyExplained\">\n <div class=\"video-gradient-top\"><\/div>\n <p class=\"text-left dyk-video-title\">How Do KYC & AML Work in Crypto? (Explained)<\/p>\n <img data-srcset=\"https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/how-do-kyc-aml-work-in-crypto-explained.jpg?tr=w-420 500w,\n https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/how-do-kyc-aml-work-in-crypto-explained.jpg?tr=w-760 1000w\"\n alt=\"How Do KYC & AML Work in Crypto? (Explained)\"\n title=\"How Do KYC & AML Work in Crypto? (Explained)\"\n class=\"p-0 lazyload\">\n <img class=\"play-button lazyload\" data-target=\"#video-modal\"\n data-src=\"https:\/\/assets.bitdegree.org\/crypto\/assets\/video-button.png?tr=w-85\"\n alt=\"How Do KYC & AML Work in Crypto? (Explained)\">\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n <div class=\"row justify-content-center text-center\">\n <div>\n <a href=https://www.bitdegree.org/"https:////www.youtube.com//c//CryptoFinallyExplained?sub_confirmation=1\%22\n class=\"btn yt-promo mb-2\" target=\"_blank\" rel=\"nofollow noopener noindex\">\n <div class=\"row justify-content-center align-items-center mx-0 text-center\">\n <div class=\"col-4 col-md-4\">\n <i class=\"fab fa-youtube yt-dyk-btn\"><\/i>\n <\/div>\n <div class=\"col-8 col-md-8 text-center yt-promo-text\">\n <h4 class=\"m-0 text-white\">SUBSCRIBE<\/h4>\n <span>ON YOUTUBE<\/span>\n <\/div>\n <\/div>\n <\/a>\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n<\/div>\n<div class=\"modal fade\" id=\"video-modal\" tabindex=\"-1\" role=\"dialog\">\n <div class=\"modal-dialog modal-dialog-centered modal-lg\" role=\"document\">\n <div class=\"modal-content\">\n <div class=\"modal-body p-0\">\n <button type=\"button\" class=\"video-modal-close close\" data-dismiss=\"modal\" aria-label=\"Close\">\n <i aria-hidden=\"true\" class=\"fas fa-times\"><\/i>\n <\/button>\n <div id=\"iframe\"><\/div>\n <\/div>\n <a class=\"text-decoration-none\"\n href=https://www.bitdegree.org/"https:////www.youtube.com//c//CryptoFinallyExplained?sub_confirmation=1\%22\n rel=\"nofollow noopener noindex\" target=\"_blank\">\n <div class=\"modal-footer p-0 d-block bg-white\">\n <div class=\"row justify-content-center m-0\">\n <div class=\"col-3 col-md-4 col-lg-2 p-0\">\n <img class=\"w-100 h-100\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//assets//crypto-subscribe.jpg/" alt=\"Subscribe\">\n <\/div>\n <div class=\"col-9 col-md-8 col-lg-2 px-0 d-flex\">\n <div class=\"modal-subscribe w-100\">\n <p class=\"m-0 mt-1 mr-3\">SUBSCRIBE<br>\n <span class=\"m-0\">ON YOUTUBE<\/span>\n <\/p>\n <\/div>\n <\/div>\n <div class=\"col-12 col-md-12 col-lg-8 p-0 text-center d-flex justify-content-center align-items-center\">\n <div class=\"modal-subscribe-text\">\n <h4 class=\"m-0\">Understand crypto with ease<\/h4>\n <span>New explainer videos every week!<\/span>\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n <\/a>\n <\/div>\n <\/div>\n<\/div>\n<h2>What is KYC & AML?<\/h2>\n<p>So, to start things off, let’s first establish what does KYC mean in crypto, as well as where does AML come in, too.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: What is KYC&AML?\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_01.jpg/" alt=\"KYC crypto: What is KYC&AML?\" width=\"1000\" height=\"967\" \/><\/p>\n<p>Both of the terms in question are abbreviations - KYC stands for <strong>“Know Your Customer”<\/strong>, while AML is <strong>“Anti-Money Laundering”<\/strong>. As you might have guessed already, both concepts are also related to cryptocurrency regulation.<\/p>\n<p>These terms are, admittedly, often used interchangeably. However, that’s not entirely the correct thing to do - <strong>you can think of AML crypto as a broad set of rules, one of which is KYC<\/strong>. There are other things that make up the Anti-Money Laundering concept, but, in this section, we’ll focus exclusively on KYC.<\/p>\n<p>So, as far as the Know Your Customer regulations are concerned, the idea behind them is quite simple, really. If you’ve ever used a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-centralized-exchange-cex/">centralized cryptocurrency exchange<\/strong><\/a>, you probably know the drill - once you register on the exchange, and set up your profile, you still won’t be able to trade any cryptocurrencies until you’ve provided the exchange platform with some personal identification data of yourself.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Know Your Customer.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_02.jpg/" alt=\"KYC crypto: Know Your Customer.\" width=\"1000\" height=\"753\" \/><\/p>\n<p>That’s exactly what KYC is, from the user’s perspective - <strong>a form of identity verification<\/strong>, so that the exchange would know that it’s actually YOU who’s doing the trading and crypto acquisition. It usually includes a photo of your ID, a selfie, your residential address (and proof of residency, as well), information about your financial background, and so on.<\/p>\n<p>Note that it’s possible to learn how to buy crypto without KYC, as well. This is usually done via <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-decentralized-exchange-dex/">decentralized exchange platforms<\/strong><\/a>, or non-KYC crypto exchanges. That said, these exchanges are usually quite complex - if you want to learn more, check out <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//dex-vs-cex/">the section dedicated to this topic<\/strong><\/a>!<\/p>\n<p><strong>KYC & AML crypto compliance isn’t exclusive to cryptocurrency exchanges, however!<\/strong> All mainstream financial platforms must abide by strict Know Your Customer regulations, and identify their clients upon them registering on said platforms.<\/p>\n<p>Here’s an example, to allow you to understand this easier: imagine that you decide to open up a new bank account, with a completely different bank from your current one. You go to the bank’s official website, fill out all of the boring paperwork, and set everything up. Now, part of your registration process will include KYC checks and verifications.<\/p>\n<p><strong>Why so? Well, there are a few big reasons. <\/strong>First, what if it’s not you who’s opening the bank account, but someone who’s impersonating you, with fake documents and IDs? In real life, this is quite simple to determine - if you’re opening a bank account online, though, it becomes much more difficult!<\/p>\n<p>Secondly, what if you have a lot of debt, or are someone who possesses a really rough financial past? The banking institution needs to know about all of these things, so that they could then partake in complex risk management processes, and act accordingly.<\/p>\n<p>Lastly, what if you’re an actual wanted criminal? Allowing a person like that to open a bank account, fill it with funds, and then perform transactions could mean terrible things! All of these things - and many more - make KYC a crucial element in having a safe financial system (as much as it is possible).<\/p>\n<p>Everything that I’ve just mentioned applies to cryptocurrency exchanges and other crypto-related services, as well. However, with crypto still being a bit Wild West-ish, <strong>the mandatory KYC verification checks present on exchange platforms are often less intrusive<\/strong> than those that you’ll find with traditional financial institutions.<\/p>\n<p>In regards to AML - or, Anti-Money Laundering - in crypto, you can view it as a sort of an umbrella term for all of the things that exchange platforms do, in order to comply with the legal industry standards and requirements. So, in this case, <strong>KYC is just a single element of AML<\/strong> - in addition to that, cryptocurrency exchanges are constantly surveilling their client activities, flagging questionable actions, freezing accounts, complying with the FBI and other law enforcement, and so on.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Anti-Money Laundering.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_03.jpg/" alt=\"KYC crypto: Anti-Money Laundering.\" width=\"1000\" height=\"476\" \/><\/p>\n<p>Feeling confused about what is KYC in crypto, as well as AML crypto compliance? Think of it this way - <strong>if KYC is an apple, then AML is an entire apple pie<\/strong>. Apples are a key part of the recipe, yes, but there are plenty of other ingredients that go into making that pie!<\/p>\n<p>Both KYC & AML are quite difficult topics, and require a lot of crypto knowledge in order to be grasped, fully. If you’re looking to educate yourself more about all-things-crypto, check other sections on this Crypto 101 Handbook - there are chapters covering everything from the crypto basics, all the way to the more-advanced stuff!<\/p>\n<h2>The Big Controversy Surrounding Crypto KYC & AML<\/h2>\n<p>Now that you have a pretty good idea of what are KYC & AML, and how they work in the context of crypto, let’s move on to discussing <strong>“the big controversy”<\/strong> that these concepts find themselves in, within the cryptocurrency space.<\/p>\n<p>Let me start off by asking you this - do you think KYC & AML are important and needed, when it comes to crypto? Now, while I can’t really hear your answer, I bet that everyone reading this section will have very different opinions on the topic.<\/p>\n<p>In order to understand this fully, though, we must take a step back and look at the core values of cryptocurrency technology. Specifically, I’m talking about <strong>decentralization and anonymity<\/strong> - while you can <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//decentralized-blockchain/">check out a section<\/strong><\/a> on these two concepts, to put it short, they are at the very center of crypto tech, and are considered to be the key to crypto's success, in a very general sense.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Decentralization and anonymity.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_04.jpg/" alt=\"KYC crypto: Decentralization and anonymity.\" width=\"1000\" height=\"509\" \/><\/p>\n<p>Now, what’s the opposite of decentralization and anonymity? That’s right - identifying yourself to a centralized cryptocurrency exchange (or other services), and revealing personal information about yourself, your financials, and your life, in general.<\/p>\n<p>You can probably see where I’m going with this.<\/p>\n<p><strong>Currently, there are two big groups of people in the crypto space <\/strong>- those who believe that crypto should remain completely decentralized and anonymity-preserving, and others who are a bit more liberal with their approach, and welcome KYC crypto and other regulations as a mandatory part of the “crypto going mainstream” process.<\/p>\n<p>That’s kind of the kicker here, as well - it’s very easy to say that <em>“crypto should remain decentralized and regulation-free!”<\/em>, without evaluating what this means, on a bigger scale. Essentially, <strong>if you were to take KYC and AML out of crypto<\/strong>, completely, you would be eliminating centralized exchanges and other services, a huge array of major projects, as well as basically destroying the possibility for this asset class to become mainstream and massively adopted, for the foreseeable future.<\/p>\n<p>Some people believe that this would essentially result in a <strong>cryptocurrency ice age<\/strong>. It’s a pretty bold statement, that’s true, but when you think about it, it makes sense - without any regulatory frameworks, crypto would be banned essentially everywhere, since no company or government would risk interacting with it, and being liable for any criminal activities that might be happening within the space.<\/p>\n<h2>The Future of KYC & AML in Crypto<\/h2>\n<p>Now, I admit - I really threw you into the deep end there! But, as complex as this topic might appear to be, it’s important to understand that <strong>things are NEVER black and white<\/strong> - KYC & AML crypto exchanges, as well as other services, aren’t an exception, either.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"KYC crypto: Crypto exchanges.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//what_is_kmc_and_aml_05.jpg/" alt=\"KYC crypto: Crypto exchanges.\" width=\"1000\" height=\"325\" \/><\/p>\n<p>Every single day, the global crypto community is looking for viable compromises - ways of how to increase the mass adoption of crypto and blockchain technology, while still retaining as much of the earlier-mentioned traditional values as possible. It’s definitely not a simple problem to solve, and it also heavily depends on the region where you reside, as well! Some parts of the world are very open to crypto, while others aim to outright ban it.<\/p>\n<p>These days, the general global focus appears to lie on <strong>increasing the reputability and security features of cryptocurrency service providers<\/strong> - centralized exchanges, lending and borrowing platforms, interest-earning projects, and so on. This is because even those crypto enthusiasts who agree that some form of KYC is mandatory for the space are skeptical about just how safe their personal information is with said platforms.<\/p>\n<p>It makes sense, when you think about it! As I’ve mentioned previously, traditional financial institutions are regulated rather strictly. With crypto exchanges, for example, <strong>the regulations are usually a bit more “up in the air”<\/strong>, which makes some exchange platforms become too relaxed on their policies. Then, if some security vulnerability occurs on one of such exchanges, the information you’ve provided to the platform could be at risk of getting leaked and stolen!<\/p>\n<p>Once again - these are very serious, as well as difficult problems to solve! However, they do impact the general ecosystem of the cryptocurrency market, and can really influence new technologies and the prices of your favorite crypto assets, too. If you are looking to become knowledgeable with crypto, KYC & AML issues are something that you really need to look into and understand!<\/p>","youtube_video":{"id":43,"channel_id":1,"sort":53,"video_title":"How Do KYC & AML Work in Crypto? (Explained)","description":"What are AML and KYC in crypto?\n\nWhile the topic of cryptocurrencies is one full of exciting prospects and innovative ideas, it also has a legal side to it, as well. When it comes to crypto legalities, you are bound to find concepts such as KYC & AML mentioned practically everywhere.\n\nIn this video, I am going to tell you about what is AML and KYC, in crypto. We\u2019ll explore both of these concepts, and how they manifest in regards to cryptocurrencies. I will also tell you about why KYC is such a controversial topic among crypto enthusiasts, and what the future of crypto regulations might look like, too. \n\nHave you ever used a cryptocurrency service that would require you to pass KYC & AML checks? Share your experiences in the comments below!\n\nVideo Time Table:\n\n0:00 Introduction to How Do KYC & AML Work in Crypto\n1:11 What is KYC & AML?\n5:01 KYC & AML Controversy in Crypto\n6:56 The Future of KYC & AML\n8:30 Wrap-up: How Do KYC & AML Work in Crypto\n\nGet Quick Crypto Tips on Twitter - Follow:\nhttps:\/\/twitter.com\/crypto_xplained\n\n#KYCCrypto #KYCMeaningCrypto #AMLCrypto","video_id":"R7_AAWBb8N0","duration":537,"view_count":401,"thumbnail_url":"https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/how-do-kyc-aml-work-in-crypto-explained.jpg","thumbnail_width":1280,"thumbnail_height":720,"published_at":"2022-12-13T15:21:21.000000Z","created_at":"2022-12-13T23:00:03.000000Z","updated_at":"2024-01-09T23:00:04.000000Z","channel":{"id":1,"title":"CryptoFinallyExplained","channel_id":"UCOryUY0yxC08eJtK23mNgiA","main_playlist_id":"UUOryUY0yxC08eJtK23mNgiA"}}}" :model="{"id":379,"chapter_id":3,"order":5,"featured_image_id":3073,"youtube_video_id":44,"author_id":1,"created_at":"2022-11-21T10:02:07.000000Z","updated_at":"2023-11-30T10:43:39.000000Z","slug":"how-to-buy-crypto","title":"From Fiat to Crypto: How to Buy Crypto for the First Time","content":"<p>In this section, we’re going to talk about the process of how to buy crypto for the very first time!<\/p>\n<p>So - you did your research, weighed all of the pros and cons, read all sections in our <strong>Crypto 101 Handbook<\/strong>, and have come to the conclusion that you do, in fact, want to become a cryptocurrency owner. It’s time to buy your first cryptocurrency!<\/p>\n<p>While revelations like this are exciting, for sure, you quickly realize that you don’t even know where to start! Like, does it matter which crypto you buy, or what currency you use to buy it? What about the regulations, different order types, storage options, and so on, and so forth? Well, worry not - I’m here to help you out!<\/p>\n<p>In this crypto beginner’s guide, <strong>we’ll look into the process of buying cryptocurrency for the first time, and how to trade cryptocurrency for beginners<\/strong>. I’ll guide you through the entire process, explaining every single step, so that you wouldn’t find yourself confused, at any point. At the end of this section, I’ll also tell you the very first thing that everyone needs to do after they’ve purchased their crypto - stick around and find out!<\/p>\n<p><em>Let’s get to it, then!<\/em><\/p>\n<h2>The Process of Buying Crypto for the First Time<\/h2>\n<p>So, if you’re looking at how to buy crypto with a credit card, where do you start?<\/p>\n<p>Well, while this isn’t a common thing to do, it’s still highly recommended that you would first <strong>contact your bank<\/strong>, and find out if they have any form of restrictions on crypto exchanges and cryptocurrency acquisition.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Contact your bank.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_01.jpg/" alt=\"How to buy crypto: Contact your bank.\" width=\"1000\" height=\"462\" \/><\/p>\n<p>Sounds odd? Well, this can actually save you a lot of potential trouble, in the longer term!<\/p>\n<p>You see, while cryptocurrencies are slowly becoming more and more mainstream, and an increasing number of people are learning how to buy crypto, some banks and traditional financial institutions still have negative attitudes towards the space. If you’re super-unlucky, and your bank is VERY against crypto, you could even get your account frozen, once you interact with an exchange! Don’t worry, though - this is a very rare occurrence, and it can usually be solved pretty simply.<\/p>\n<p>Still, though - if you want to save yourself the potential headache, <strong>I would still suggest<\/strong> <strong>looking into the stance that your bank holds towards its clients buying crypto<\/strong>. Once you’ve got that out of the way, we can move on to picking out an exchange.<\/p>\n<p>This is actually one of the most important steps that you need to take, while learning how to trade cryptocurrency for beginners. Think about it like this - if your car breaks down, you will need to find a mechanic to fix it. However, not any mechanic will do - if you take your car to some shady individual, they might end up ruining it, beyond repair! The same is true with crypto exchanges, as well - if you take your money to a suspicious exchange, many bad things could happen!<\/p>\n<p>That said, though… <strong>How do you go about picking the right exchange for yourself?<\/strong> Well, admittedly, this is a topic that doesn’t only deserve a separate section, but could do with a whole chapter, in of itself! Keeping things short and to-the-point, though, you should do a lot of research on <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//best-cryptocurrency-exchange/">which exchange platforms are reliable<\/strong><\/a>, have a good track record when it comes to security features, comply with all regulatory standards, as well as offer the best trading fees, and a big variety of coin & token trading pairs.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Features of a good exchange.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_02.jpg/" alt=\"How to buy crypto: Features of a good exchange.\" width=\"1000\" height=\"486\" \/><\/p>\n<p>Now, picking out the right cryptocurrency exchange that would allow you to learn how to day trade crypto for beginners might be a lengthy process - that’s perfectly fine! You should take all the time that you need, and make sure that you choose wisely. For the sake of this section, I’ve picked <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//goon//binance/" target=\"_blank\" rel=\"nofollow noindex noopener\"><strong>Binance<\/strong><\/a>, as my own exchange of choice - however, the processes that we’ll discuss moving forward will frankly be the same with any other high-end exchange out there, as well, so you should be able to follow along, no problem.<\/p>\n<p>After choosing the exchange, we’ll need to <strong>register on the platform and<\/strong> <strong>pass the required KYC & AML verification checks<\/strong>. Let’s break that down, shall we?<\/p>\n<p>Registration-wise, everything should take you no longer than a couple of minutes to complete. You’d fill out your email, create a strong password, and fill out some other basic information, if requested. With most exchanges, after an email confirmation, you should be redirected to your exchange dashboard. Now, before you do anything else, this is where the KYC & AML part comes in.<\/p>\n<p>KYC stands for <strong>“Know Your Customer”<\/strong>, while AML is <strong>“Anti-Money Laundering”<\/strong>. Both of these terms sound very fancy and official, and there's also a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//kyc-crypto/">dedicated section<\/strong><\/a> explaining them in-depth, too - feel free to check it out! For the time being, though, it’s enough to say that KYC & AML are like special security checks that everyone who wants to learn how to buy crypto need to pass, in order to start buying, selling, and trading cryptocurrencies on an exchange.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: KYC check.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_03.jpg/" alt=\"How to buy crypto: KYC check.\" width=\"1000\" height=\"1088\" \/><\/p>\n<p>Before you ask - yes, these security checks are mandatory, and no, there’s no safe way to “bypass” them. It’s one of the reasons why it’s super-important that you pick a reliable and well-established crypto exchange!<\/p>\n<p>With most exchange platforms, the <strong>KYC checks will involve you submitting some personal information about yourself<\/strong> - for example, in order to pass the basic KYC level on Binance, you will need to provide the platform with your full name, country of residence, address, birthday, nationality, some form of ID, and a selfie. Most of these are required with other high-tier exchanges, as well!<\/p>\n<p>Now, KYC really is a broad topic, so I won’t look into it any further. Suffice to say that, after you’ve submitted all of the information mentioned above, if it’s all correct, your account should become verified shortly, and you’ll be able to check how to buy crypto with a credit card for the first time!<\/p>\n<p>This is actually the part that tends to confuse a lot of people who are learning how to buy crypto! <strong>I mean, how do you actually BUY the crypto that you want?<\/strong> Do you need to fund your account, or can you buy straight from your credit or debit card?<\/p>\n<p>Well, let me tell you - everything’s actually much simpler than it looks! For example, let’s say that you want to purchase some <a href=https://www.bitdegree.org/"//crypto//buy-bitcoin-btc/">Bitcoin. Assuming that you’ve registered on a top-rated exchange, and not some niche platform, the buying process should be extremely straightforward.<\/p>\n<p>Take <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//goon//binance/" target=\"_blank\" rel=\"nofollow noindex noopener\"><strong>Binance<\/strong><\/a>, as an example. If you’re buying crypto with a credit or debit card, all that you need to do is navigate to the <em>“Buy Crypto”<\/em> section at the top of the exchange’s homepage. Here, you’ll be able to pick the currency that you want to pay in, as well as the crypto asset that you want to buy - say, Bitcoin.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Binance.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_04.jpg/" alt=\"How to buy crypto: Binance.\" width=\"1000\" height=\"382\" \/><\/p>\n<p>Now all that’s really left to do is to enter your credit or debit card details, and confirm the purchase. Yes, it really is that simple! There’s no need to pre-fund your account with money, and the entire process takes but a few minutes to complete.<\/p>\n<h2>You Own Crypto - Now What?<\/h2>\n<p>So, that’s essentially how to buy crypto with a credit card, for the first time! A while ago, this process used to look quite different - it was much more complex, and involved a lot of extra steps. However, with crypto becoming more and more adopted, by the day, one of the biggest goals that crypto service providers have is to make the concept as approachable to complete beginners as possible. It’s definitely much appreciated!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Process of buying crypto.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_05.jpg/" alt=\"How to buy crypto: Process of buying crypto.\" width=\"1000\" height=\"495\" \/><\/p>\n<p>At this point in the crypto beginner’s guide, you’re probably sitting there wondering - <strong>what now?<\/strong> Well, there are many different ways how you can utilize your newly-acquired crypto! For now, though, I’ll only mention the very first major thing that you need to do after purchasing crypto for the first time – <strong>transferring it to a secure <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-wallet/">cryptocurrency wallet<\/a><\/strong>.<\/p>\n<p>Think about it like this - imagine that you’ve bought a new car. You’re really excited to drive it, and are already planning the different road trips that you’ll take. My question is - would you drive your new car home, and park it in your garage, or would you leave it in the parking lot of a mall?<\/p>\n<p>The answer seems pretty obvious, doesn’t it? Sure, leaving your car in a parking lot isn’t necessarily a bad thing, but there’s a higher chance that something bad will happen to it than if you were to park it in your garage. Generally speaking, of course.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Leaving your crypto on an exchange.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_06.jpg/" alt=\"How to buy crypto: Leaving your crypto on an exchange.\" width=\"1000\" height=\"581\" \/><\/p>\n<p>The same is true with cryptocurrencies, as well. If you plan to start trading crypto, or will only hold a small number of coins & tokens, leaving them on an exchange is fine - it’s more convenient, and you don’t need to worry about the wallet acquisition part.<\/p>\n<p>On the other hand, if you’re serious about getting into crypto, and plan to make many additional purchases in the near future, <strong>investing some money in a well-built, industry-leading <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-hardware-wallet/">hardware wallet<\/a> might be the best choice that you’ll make throughout your crypto journey<\/strong>. Just some food for thought, as you manage your new crypto assets!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Holding crypto in a hardware wallet.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_07.jpg/" alt=\"How to buy crypto: Holding crypto in a hardware wallet.\" width=\"1000\" height=\"388\" \/><\/p>\n<p>Notice how I say - hardware wallet. It’s true that there are multiple different software or browser-based crypto wallets out there, as well. However, if you’re looking for the best security and peace of mind, nothing can compare to a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//cold-wallet/">high-end hardware product<\/strong><\/a>!<\/p>\n<p>So, that's pretty much it for first-time cryptocurrency purchases. Check out the other sections of this Crypto 101 Handbook if you want to learn more about the crypto industry as a whole!<\/p>","definition":"Did you know that purchasing crypto is as easy as purchasing shoes online?","status":"published","meta_title":"How to Buy Crypto for the First Time? A Thorough Guide","meta_description":"Want to be a part of the crypto world but don't know how to buy crypto? Read a step-by-step guide about buying your first crypto right here!","meta_keywords":"how to buy crypto, how to buy crypto with credit card, how to trade cryptocurrency for beginners\ncrypto beginners guide, how to day trade crypto for beginners","modified_content":"<p>In this section, we’re going to talk about the process of how to buy crypto for the very first time!<\/p>\n<p>So - you did your research, weighed all of the pros and cons, read all sections in our <strong>Crypto 101 Handbook<\/strong>, and have come to the conclusion that you do, in fact, want to become a cryptocurrency owner. It’s time to buy your first cryptocurrency!<\/p>\n<p>While revelations like this are exciting, for sure, you quickly realize that you don’t even know where to start! Like, does it matter which crypto you buy, or what currency you use to buy it? What about the regulations, different order types, storage options, and so on, and so forth? Well, worry not - I’m here to help you out!<\/p>\n<p>In this crypto beginner’s guide, <strong>we’ll look into the process of buying cryptocurrency for the first time, and how to trade cryptocurrency for beginners<\/strong>. I’ll guide you through the entire process, explaining every single step, so that you wouldn’t find yourself confused, at any point. At the end of this section, I’ll also tell you the very first thing that everyone needs to do after they’ve purchased their crypto - stick around and find out!<\/p>\n<p><em>Let’s get to it, then!<\/em><\/p>\n<div class=\"container\">\n <div class=\"row justify-content-center\">\n <div class=\"col-md-10 suggested-comparisons pb-3 mb-4\">\n <div class=\"d-flex flex-row\">\n <div class=\"text-center\">\n <div class=\"img-block-yt\">\n <img src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//assets//images//compare-crypto-exchanges.gif/"/n alt=\"How to Buy Crypto SAFELY With a Credit Card (Animated)\"\n title=\"How to Buy Crypto SAFELY With a Credit Card (Animated)\" class=\"border-0\">\n <p>Video Explainer<\/p>\n <\/div>\n <\/div>\n <div class=\"col-xs-10 col-sm-10 col-md-10 text-left py-3 yt-info\">\n <h4 class=\"mb-1\">Video Explainer: From Fiat to Crypto: How to Buy Crypto for the First Time<\/h4>\n <p class=\"py-1 mb-0 youtube-video-subtitle\">Reading is not your thing? Watch the \"From Fiat to Crypto: How to Buy Crypto for the First Time\" video explainer<\/p>\n <\/div>\n <\/div>\n <div class=\"row justify-content-center text-center\">\n <div class=\"col-12 col-md-11 px-3\">\n <div class=\"wrapper mb-0\">\n <div class=\"position-relative youtube mb-4 bg-transparent p-0 video-modal-popup\" data-toggle=\"modal\"\n data-target=\"#video-modal\" data-id=\"y-7Bu2KtdYk\" data-title=\"CryptoFinallyExplained\">\n <div class=\"video-gradient-top\"><\/div>\n <p class=\"text-left dyk-video-title\">How to Buy Crypto SAFELY With a Credit Card (Animated)<\/p>\n <img data-srcset=\"https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/how-to-buy-crypto-safely-with-a-credit-card-animated.jpg?tr=w-420 500w,\n https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/how-to-buy-crypto-safely-with-a-credit-card-animated.jpg?tr=w-760 1000w\"\n alt=\"How to Buy Crypto SAFELY With a Credit Card (Animated)\"\n title=\"How to Buy Crypto SAFELY With a Credit Card (Animated)\"\n class=\"p-0 lazyload\">\n <img class=\"play-button lazyload\" data-target=\"#video-modal\"\n data-src=\"https:\/\/assets.bitdegree.org\/crypto\/assets\/video-button.png?tr=w-85\"\n alt=\"How to Buy Crypto SAFELY With a Credit Card (Animated)\">\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n <div class=\"row justify-content-center text-center\">\n <div>\n <a href=https://www.bitdegree.org/"https:////www.youtube.com//c//CryptoFinallyExplained?sub_confirmation=1\%22\n class=\"btn yt-promo mb-2\" target=\"_blank\" rel=\"nofollow noopener noindex\">\n <div class=\"row justify-content-center align-items-center mx-0 text-center\">\n <div class=\"col-4 col-md-4\">\n <i class=\"fab fa-youtube yt-dyk-btn\"><\/i>\n <\/div>\n <div class=\"col-8 col-md-8 text-center yt-promo-text\">\n <h4 class=\"m-0 text-white\">SUBSCRIBE<\/h4>\n <span>ON YOUTUBE<\/span>\n <\/div>\n <\/div>\n <\/a>\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n<\/div>\n<div class=\"modal fade\" id=\"video-modal\" tabindex=\"-1\" role=\"dialog\">\n <div class=\"modal-dialog modal-dialog-centered modal-lg\" role=\"document\">\n <div class=\"modal-content\">\n <div class=\"modal-body p-0\">\n <button type=\"button\" class=\"video-modal-close close\" data-dismiss=\"modal\" aria-label=\"Close\">\n <i aria-hidden=\"true\" class=\"fas fa-times\"><\/i>\n <\/button>\n <div id=\"iframe\"><\/div>\n <\/div>\n <a class=\"text-decoration-none\"\n href=https://www.bitdegree.org/"https:////www.youtube.com//c//CryptoFinallyExplained?sub_confirmation=1\%22\n rel=\"nofollow noopener noindex\" target=\"_blank\">\n <div class=\"modal-footer p-0 d-block bg-white\">\n <div class=\"row justify-content-center m-0\">\n <div class=\"col-3 col-md-4 col-lg-2 p-0\">\n <img class=\"w-100 h-100\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//assets//crypto-subscribe.jpg/" alt=\"Subscribe\">\n <\/div>\n <div class=\"col-9 col-md-8 col-lg-2 px-0 d-flex\">\n <div class=\"modal-subscribe w-100\">\n <p class=\"m-0 mt-1 mr-3\">SUBSCRIBE<br>\n <span class=\"m-0\">ON YOUTUBE<\/span>\n <\/p>\n <\/div>\n <\/div>\n <div class=\"col-12 col-md-12 col-lg-8 p-0 text-center d-flex justify-content-center align-items-center\">\n <div class=\"modal-subscribe-text\">\n <h4 class=\"m-0\">Understand crypto with ease<\/h4>\n <span>New explainer videos every week!<\/span>\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n <\/a>\n <\/div>\n <\/div>\n<\/div>\n<h2>The Process of Buying Crypto for the First Time<\/h2>\n<p>So, if you’re looking at how to buy crypto with a credit card, where do you start?<\/p>\n<p>Well, while this isn’t a common thing to do, it’s still highly recommended that you would first <strong>contact your bank<\/strong>, and find out if they have any form of restrictions on crypto exchanges and cryptocurrency acquisition.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Contact your bank.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_01.jpg/" alt=\"How to buy crypto: Contact your bank.\" width=\"1000\" height=\"462\" \/><\/p>\n<p>Sounds odd? Well, this can actually save you a lot of potential trouble, in the longer term!<\/p>\n<p>You see, while cryptocurrencies are slowly becoming more and more mainstream, and an increasing number of people are learning how to buy crypto, some banks and traditional financial institutions still have negative attitudes towards the space. If you’re super-unlucky, and your bank is VERY against crypto, you could even get your account frozen, once you interact with an exchange! Don’t worry, though - this is a very rare occurrence, and it can usually be solved pretty simply.<\/p>\n<p>Still, though - if you want to save yourself the potential headache, <strong>I would still suggest<\/strong> <strong>looking into the stance that your bank holds towards its clients buying crypto<\/strong>. Once you’ve got that out of the way, we can move on to picking out an exchange.<\/p>\n<p>This is actually one of the most important steps that you need to take, while learning how to trade cryptocurrency for beginners. Think about it like this - if your car breaks down, you will need to find a mechanic to fix it. However, not any mechanic will do - if you take your car to some shady individual, they might end up ruining it, beyond repair! The same is true with crypto exchanges, as well - if you take your money to a suspicious exchange, many bad things could happen!<\/p>\n<p>That said, though… <strong>How do you go about picking the right exchange for yourself?<\/strong> Well, admittedly, this is a topic that doesn’t only deserve a separate section, but could do with a whole chapter, in of itself! Keeping things short and to-the-point, though, you should do a lot of research on <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//best-cryptocurrency-exchange/">which exchange platforms are reliable<\/strong><\/a>, have a good track record when it comes to security features, comply with all regulatory standards, as well as offer the best trading fees, and a big variety of coin & token trading pairs.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Features of a good exchange.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_02.jpg/" alt=\"How to buy crypto: Features of a good exchange.\" width=\"1000\" height=\"486\" \/><\/p>\n<p>Now, picking out the right cryptocurrency exchange that would allow you to learn how to day trade crypto for beginners might be a lengthy process - that’s perfectly fine! You should take all the time that you need, and make sure that you choose wisely. For the sake of this section, I’ve picked <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//goon//binance/" target=\"_blank\" rel=\"nofollow noindex noopener\"><strong>Binance<\/strong><\/a>, as my own exchange of choice - however, the processes that we’ll discuss moving forward will frankly be the same with any other high-end exchange out there, as well, so you should be able to follow along, no problem.<\/p>\n<p>After choosing the exchange, we’ll need to <strong>register on the platform and<\/strong> <strong>pass the required KYC & AML verification checks<\/strong>. Let’s break that down, shall we?<\/p>\n<p>Registration-wise, everything should take you no longer than a couple of minutes to complete. You’d fill out your email, create a strong password, and fill out some other basic information, if requested. With most exchanges, after an email confirmation, you should be redirected to your exchange dashboard. Now, before you do anything else, this is where the KYC & AML part comes in.<\/p>\n<p>KYC stands for <strong>“Know Your Customer”<\/strong>, while AML is <strong>“Anti-Money Laundering”<\/strong>. Both of these terms sound very fancy and official, and there's also a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//kyc-crypto/">dedicated section<\/strong><\/a> explaining them in-depth, too - feel free to check it out! For the time being, though, it’s enough to say that KYC & AML are like special security checks that everyone who wants to learn how to buy crypto need to pass, in order to start buying, selling, and trading cryptocurrencies on an exchange.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: KYC check.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_03.jpg/" alt=\"How to buy crypto: KYC check.\" width=\"1000\" height=\"1088\" \/><\/p>\n<p>Before you ask - yes, these security checks are mandatory, and no, there’s no safe way to “bypass” them. It’s one of the reasons why it’s super-important that you pick a reliable and well-established crypto exchange!<\/p>\n<p>With most exchange platforms, the <strong>KYC checks will involve you submitting some personal information about yourself<\/strong> - for example, in order to pass the basic KYC level on Binance, you will need to provide the platform with your full name, country of residence, address, birthday, nationality, some form of ID, and a selfie. Most of these are required with other high-tier exchanges, as well!<\/p>\n<p>Now, KYC really is a broad topic, so I won’t look into it any further. Suffice to say that, after you’ve submitted all of the information mentioned above, if it’s all correct, your account should become verified shortly, and you’ll be able to check how to buy crypto with a credit card for the first time!<\/p>\n<p>This is actually the part that tends to confuse a lot of people who are learning how to buy crypto! <strong>I mean, how do you actually BUY the crypto that you want?<\/strong> Do you need to fund your account, or can you buy straight from your credit or debit card?<\/p>\n<p>Well, let me tell you - everything’s actually much simpler than it looks! For example, let’s say that you want to purchase some <a href=https://www.bitdegree.org/"//crypto//buy-bitcoin-btc/">Bitcoin. Assuming that you’ve registered on a top-rated exchange, and not some niche platform, the buying process should be extremely straightforward.<\/p>\n<p>Take <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//goon//binance/" target=\"_blank\" rel=\"nofollow noindex noopener\"><strong>Binance<\/strong><\/a>, as an example. If you’re buying crypto with a credit or debit card, all that you need to do is navigate to the <em>“Buy Crypto”<\/em> section at the top of the exchange’s homepage. Here, you’ll be able to pick the currency that you want to pay in, as well as the crypto asset that you want to buy - say, Bitcoin.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Binance.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_04.jpg/" alt=\"How to buy crypto: Binance.\" width=\"1000\" height=\"382\" \/><\/p>\n<p>Now all that’s really left to do is to enter your credit or debit card details, and confirm the purchase. Yes, it really is that simple! There’s no need to pre-fund your account with money, and the entire process takes but a few minutes to complete.<\/p>\n<h2>You Own Crypto - Now What?<\/h2>\n<p>So, that’s essentially how to buy crypto with a credit card, for the first time! A while ago, this process used to look quite different - it was much more complex, and involved a lot of extra steps. However, with crypto becoming more and more adopted, by the day, one of the biggest goals that crypto service providers have is to make the concept as approachable to complete beginners as possible. It’s definitely much appreciated!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Process of buying crypto.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_05.jpg/" alt=\"How to buy crypto: Process of buying crypto.\" width=\"1000\" height=\"495\" \/><\/p>\n<p>At this point in the crypto beginner’s guide, you’re probably sitting there wondering - <strong>what now?<\/strong> Well, there are many different ways how you can utilize your newly-acquired crypto! For now, though, I’ll only mention the very first major thing that you need to do after purchasing crypto for the first time – <strong>transferring it to a secure <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-wallet/">cryptocurrency wallet<\/a><\/strong>.<\/p>\n<p>Think about it like this - imagine that you’ve bought a new car. You’re really excited to drive it, and are already planning the different road trips that you’ll take. My question is - would you drive your new car home, and park it in your garage, or would you leave it in the parking lot of a mall?<\/p>\n<p>The answer seems pretty obvious, doesn’t it? Sure, leaving your car in a parking lot isn’t necessarily a bad thing, but there’s a higher chance that something bad will happen to it than if you were to park it in your garage. Generally speaking, of course.<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Leaving your crypto on an exchange.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_06.jpg/" alt=\"How to buy crypto: Leaving your crypto on an exchange.\" width=\"1000\" height=\"581\" \/><\/p>\n<p>The same is true with cryptocurrencies, as well. If you plan to start trading crypto, or will only hold a small number of coins & tokens, leaving them on an exchange is fine - it’s more convenient, and you don’t need to worry about the wallet acquisition part.<\/p>\n<p>On the other hand, if you’re serious about getting into crypto, and plan to make many additional purchases in the near future, <strong>investing some money in a well-built, industry-leading <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//learn//crypto-terms//what-is-hardware-wallet/">hardware wallet<\/a> might be the best choice that you’ll make throughout your crypto journey<\/strong>. Just some food for thought, as you manage your new crypto assets!<\/p>\n<p><img style=\"display: block; margin-left: auto; margin-right: auto;\" title=\"How to buy crypto: Holding crypto in a hardware wallet.\" src=https://www.bitdegree.org/"https:////assets.bitdegree.org//crypto//storage//optimized//buying_crypto_07.jpg/" alt=\"How to buy crypto: Holding crypto in a hardware wallet.\" width=\"1000\" height=\"388\" \/><\/p>\n<p>Notice how I say - hardware wallet. It’s true that there are multiple different software or browser-based crypto wallets out there, as well. However, if you’re looking for the best security and peace of mind, nothing can compare to a <a href=https://www.bitdegree.org/"https:////www.bitdegree.org//crypto//cold-wallet/">high-end hardware product<\/strong><\/a>!<\/p>\n<p>So, that's pretty much it for first-time cryptocurrency purchases. Check out the other sections of this Crypto 101 Handbook if you want to learn more about the crypto industry as a whole!<\/p>","youtube_video":{"id":44,"channel_id":1,"sort":52,"video_title":"How to Buy Crypto SAFELY With a Credit Card (Animated)","description":"Step-by-step guide on how to buy crypto safely & easily.\n\nCryptocurrency acquisition might feel like second nature to many already-established crypto enthusiasts, but it\u2019s easy to forget that this space is still quite young, and there's a lot of widespread confusion present, to this day. This is especially true if you\u2019re a complete newbie, and are looking at how to buy crypto for the first time.\n\nIn this video, I am going to tell you how to do so, in a step-by-step manner. I\u2019ll explain what you need to know for each step, what you\u2019ll need in order to perform the purchase, as well as what would be the best thing to do right after you buy crypto for the very first time. \n\nHave you already bought crypto, or are you still in the learning phase? Share your thoughts with everyone, in the comment section below!\n\nVideo Time Table:\n\n0:00 Introduction to How to Buy Crypto With a Credit Card\n1:06 How to Buy Crypto With a Credit Card\n2:23 How to Pick the Right Crypto Exchange?\n5:01 The Process of Buying Crypto\n6:22 You Own Crypto - Now What?\n7:57 Wrap-up: How to Buy Crypto \n\nGet Quick Crypto Tips on Twitter - Follow:\nhttps:\/\/twitter.com\/crypto_xplained\n\n#HowToBuyCrypto #HowToBuyCryptoWithCreditCard #HowToTradeCryptocurrencyForBeginners","video_id":"y-7Bu2KtdYk","duration":527,"view_count":233,"thumbnail_url":"https:\/\/assets.bitdegree.org\/youtube\/crypto-finally-explained\/how-to-buy-crypto-safely-with-a-credit-card-animated.jpg","thumbnail_width":1280,"thumbnail_height":720,"published_at":"2022-12-20T17:00:14.000000Z","created_at":"2022-12-20T23:00:06.000000Z","updated_at":"2024-01-09T23:00:04.000000Z","channel":{"id":1,"title":"CryptoFinallyExplained","channel_id":"UCOryUY0yxC08eJtK23mNgiA","main_playlist_id":"UUOryUY0yxC08eJtK23mNgiA"}},"featured_image":{"id":3073,"uuid":"301db7ce-fc4f-4eeb-8637-b74f80b93028","name":"how-to-buy-crypto-featured-image.jpg","url":"https:\/\/assets.bitdegree.org\/crypto\/storage\/optimized\/how-to-buy-crypto-featured-image.jpg","path":"crypto\/storage\/optimized\/how-to-buy-crypto-featured-image.jpg","mime_type":"image\/jpeg","disk":"digitalOceanSpaces","size":47261,"width":768,"height":478,"custom_properties":null,"created_at":"2023-06-19T06:58:39.000000Z","updated_at":"2023-06-19T06:58:39.000000Z"}}" :chapter-list="[{"id":1,"title":"Blockchain","slug":"blockchain","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-blockchain.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/blockchain-101.jpg","rating":100,"sections":[{"chapter_id":1,"order":1,"slug":"what-is-blockchain","title":"What is the Blockchain?","status":"published","modified_content":null},{"chapter_id":1,"order":2,"slug":"decentralized-blockchain","title":"Anonymous & Decentralized Blockchains: The Cornerstone of Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":3,"slug":"blockchain-transaction","title":"What is a Blockchain Transaction in Crypto?","status":"published","modified_content":null},{"chapter_id":1,"order":4,"slug":"crypto-fees","title":"The Different Types of Crypto Fees Explained","status":"published","modified_content":null},{"chapter_id":1,"order":5,"slug":"what-is-bridging-in-crypto","title":"The Key Notion Behind the Concept of Bridging in Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":6,"slug":"types-of-blockchains","title":"Different Types of Blockchains: What to Look Out For?","status":"published","modified_content":null}]},{"id":2,"title":"Cryptocurrencies","slug":"cryptocurrencies","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-cryptocurrencies.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/cryptocurrencies-101.jpg","rating":100,"sections":[{"chapter_id":2,"order":1,"slug":"what-is-a-cryptocurrency","title":"What is a Cryptocurrency?","status":"published","modified_content":null},{"chapter_id":2,"order":2,"slug":"how-does-cryptocurrency-work","title":"How Does Cryptocurrency Work?","status":"published","modified_content":null},{"chapter_id":2,"order":3,"slug":"is-cryptocurrency-a-good-investment","title":"Is Cryptocurrency a Good Investment? The Pros & Cons","status":"published","modified_content":null},{"chapter_id":2,"order":4,"slug":"coin-vs-token","title":"Coin VS Token: How Do They Differ?","status":"published","modified_content":null},{"chapter_id":2,"order":5,"slug":"what-are-stablecoins","title":"What are Stablecoins, Altcoins & Wrapped Coins?","status":"published","modified_content":null},{"chapter_id":2,"order":6,"slug":"what-is-a-bitcoin","title":"Bitcoin: the Pioneer of the Crypto World","status":"published","modified_content":null},{"chapter_id":2,"order":7,"slug":"what-is-ethereum","title":"The Ultimate Blockchain for dApp Creation: Ethereum","status":"published","modified_content":null},{"chapter_id":2,"order":8,"slug":"what-is-cardano-in-crypto","title":"What is Cardano and What is It Used For?","status":"published","modified_content":null},{"chapter_id":2,"order":9,"slug":"what-is-shiba-inu-coin","title":"Shiba Inu: the Dogecoin Killer","status":"published","modified_content":null},{"chapter_id":2,"order":10,"slug":"what-is-solana-in-crypto","title":"Is Solana an Improved Version of Ethereum?","status":"published","modified_content":null},{"chapter_id":2,"order":11,"slug":"what-is-polkadot-in-crypto","title":"The Bridge Between Blockchains: Polkadot","status":"published","modified_content":null},{"chapter_id":2,"order":12,"slug":"what-is-polygon-in-crypto","title":"Polygon: the Essential Scaling Solution for Ethereum","status":"published","modified_content":null},{"chapter_id":2,"order":13,"slug":"what-is-luna-crypto","title":"The Bumpy Road of Terra (LUNA)","status":"published","modified_content":null},{"chapter_id":2,"order":14,"slug":"what-is-fantom-crypto","title":"Is Fantom (FTM) Yet Another Ethereum Killer?","status":"published","modified_content":null},{"chapter_id":2,"order":15,"slug":"what-is-aave-crypto","title":"Aave: Crypto Lending Trailblazer","status":"published","modified_content":null},{"chapter_id":2,"order":16,"slug":"what-is-algorand-crypto","title":"Did Algorand Truly Solve the Blockchain Trilemma?","status":"published","modified_content":null},{"chapter_id":2,"order":17,"slug":"what-is-olympus-dao","title":"Does Olympus DAO Have Anything to Do With Mythology?","status":"published","modified_content":null},{"chapter_id":2,"order":18,"slug":"what-is-avax","title":"Is Avalanche Network (AVAX) Rightfully Called the Future of DeFi?","status":"published","modified_content":null},{"chapter_id":2,"order":19,"slug":"what-is-monero-coin","title":"Monero: Where Cryptocurrency Meets Cryptography","status":"published","modified_content":null},{"chapter_id":2,"order":20,"slug":"what-is-ripple-xrp","title":"Is Ripple \"it\" When it Comes to Cross-Border Transactions?","status":"published","modified_content":null},{"chapter_id":2,"order":21,"slug":"practical-use-of-cryptocurrencies","title":"The Practical Use of Crypto","status":"published","modified_content":null}]},{"id":3,"title":"Crypto Exchanges","slug":"crypto-exchanges","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-exchanges.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-exchanges-101.jpg","rating":80,"sections":[{"chapter_id":3,"order":1,"slug":"how-do-cryptocurrency-exchanges-work","title":"How do Cryptocurrency Exchanges Work?","status":"published","modified_content":null},{"chapter_id":3,"order":2,"slug":"dex-vs-cex","title":"DEX VS CEX: Two Sides of the Crypto Exchange Industry","status":"published","modified_content":null},{"chapter_id":3,"order":3,"slug":"crypto-day-trading","title":"Crypto Day Trading: The Difference Between Buying, Trading, and Swapping","status":"published","modified_content":null},{"chapter_id":3,"order":4,"slug":"kyc-crypto","title":"KYC & AML: The Key to Complying With Legal Industry Standards","status":"published","modified_content":null},{"chapter_id":3,"order":5,"slug":"how-to-buy-crypto","title":"From Fiat to Crypto: How to Buy Crypto for the First Time","status":"published","modified_content":null},{"chapter_id":3,"order":6,"slug":"fiat-to-crypto","title":"Taking Profits: Turning Crypto Into Fiat","status":"published","modified_content":null},{"chapter_id":3,"order":7,"slug":"how-to-use-crypto","title":"You\u2019ve Got Crypto: What Can You Do With It?","status":"published","modified_content":null}]},{"id":4,"title":"Crypto Wallets","slug":"crypto-wallets","updated":false,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-wallets.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-wallets-101.jpg","rating":80,"sections":[{"chapter_id":4,"order":1,"slug":"what-is-a-crypto-wallet","title":"What is a Crypto Wallet?","status":"published","modified_content":null},{"chapter_id":4,"order":2,"slug":"hot-wallet-vs-cold-wallet","title":"Hot Wallet VS Cold Wallet: Which One to Pick?","status":"published","modified_content":null},{"chapter_id":4,"order":3,"slug":"non-custodial-wallet","title":"What are Non-Custodial Crypto Wallets?","status":"published","modified_content":null},{"chapter_id":4,"order":4,"slug":"what-is-metamask","title":"Metamask: The Leading Non-Custodial Wallet","status":"published","modified_content":null},{"chapter_id":4,"order":37,"slug":"how-safe-is-cryptocurrency","title":"The Key Crypto Wallet Safety Practices: How Safe Can Crypto Be?","status":"published","modified_content":null}]},{"id":5,"title":"NFTs","slug":"nfts","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-nfts.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/nfts-101.jpg","rating":100,"sections":[{"chapter_id":5,"order":2,"slug":"how-to-trade-nfts","title":"NFT Trading: The Ins and Outs","status":"published","modified_content":null},{"chapter_id":5,"order":3,"slug":"buying-nft","title":"Tips and Tricks of Choosing the Right NFTs","status":"published","modified_content":null},{"chapter_id":5,"order":4,"slug":"how-to-store-nft","title":"How to Store NFTs: Best Practices","status":"published","modified_content":null},{"chapter_id":5,"order":5,"slug":"how-to-create-an-nft","title":"How to Create Your Own NFTs?","status":"published","modified_content":null},{"chapter_id":5,"order":6,"slug":"how-to-make-passive-money-with-nft","title":"Making Passive Money with NFTs","status":"published","modified_content":null}]},{"id":6,"title":"dApps & Defi","slug":"dapps-and-defi","updated":true,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-dapps.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/dapps-defi-101.jpg","rating":80,"sections":[{"chapter_id":6,"order":1,"slug":"what-are-nfts","title":"What are Non-Fungible Tokens (NFTs)?","status":"published","modified_content":null},{"chapter_id":6,"order":1,"slug":"what-is-defi","title":"What is Decentralized Finance (DeFi)?","status":"published","modified_content":null},{"chapter_id":6,"order":2,"slug":"what-is-defi-2-0","title":"DeFi 2.0: The New Version of Decentralized Finance","status":"published","modified_content":null},{"chapter_id":6,"order":3,"slug":"what-are-dapps-in-crypto","title":"What Are dApps and How Do They Work?","status":"published","modified_content":null},{"chapter_id":6,"order":4,"slug":"defi-dapps","title":"Picking the Right dApps: Dos and Don'ts","status":"published","modified_content":null},{"chapter_id":6,"order":5,"slug":"what-is-web-3-0","title":"Web 3.0: The Future of the Internet","status":"published","modified_content":null},{"chapter_id":6,"order":6,"slug":"what-are-smart-contracts","title":"What is the Core Purpose of Smart Contracts?","status":"published","modified_content":null},{"chapter_id":6,"order":7,"slug":"what-is-a-dao-in-crypto","title":"The Notion of a Decentralized Autonomous Ogranization (DAO)","status":"published","modified_content":null},{"chapter_id":6,"order":8,"slug":"what-is-staking-in-crypto","title":"What is the Goal of Staking Crypto Assets?","status":"published","modified_content":null},{"chapter_id":6,"order":9,"slug":"what-is-liquidity-pool-in-crypto","title":"What is a Liquidity Pool and How Does It Work?","status":"published","modified_content":null},{"chapter_id":6,"order":10,"slug":"what-is-automated-market-maker","title":"Automated Market Maker: the Cornerstone of the Decentralized Crypto Exchange Industry","status":"published","modified_content":null},{"chapter_id":6,"order":11,"slug":"what-is-yield-farming-in-crypto","title":"The Main Yield Farming Techniques","status":"published","modified_content":null},{"chapter_id":6,"order":12,"slug":"what-is-an-oracle-in-crypto","title":"Crypto Oracles: The Link Between Blockchain and Outside World Data","status":"published","modified_content":null},{"chapter_id":6,"order":13,"slug":"crypto-gambling","title":"The Peculiarities of Decentralized Crypto Gambling","status":"published","modified_content":null},{"chapter_id":6,"order":14,"slug":"what-is-the-metaverse","title":"Metaverse: A New Perception of Reality","status":"published","modified_content":null}]},{"id":7,"title":"Trading & Investing","slug":"trading-and-investing","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-trading.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-trading-101.jpg","rating":80,"sections":[{"chapter_id":7,"order":1,"slug":"where-to-trade-crypto","title":"Where Can You Trade Cryptocurrencies?","status":"published","modified_content":null},{"chapter_id":7,"order":2,"slug":"how-to-invest-in-crypto","title":"Investing in Crypto: What Investing Options Do You Have?","status":"published","modified_content":null},{"chapter_id":7,"order":3,"slug":"ico-vs-ido","title":"ICO vs IDO vs IEO: Which One is the One?","status":"published","modified_content":null},{"chapter_id":7,"order":4,"slug":"what-is-an-airdrop","title":"What are Crypto Airdrops and How to Get Them?","status":"published","modified_content":null},{"chapter_id":7,"order":5,"slug":"how-to-get-free-crypto","title":"How to Get Free Crypto Assets?","status":"published","modified_content":null},{"chapter_id":7,"order":6,"slug":"how-to-arbitrage-crypto","title":"What is Crypto Arbitrage: The Main Principles","status":"published","modified_content":null},{"chapter_id":7,"order":7,"slug":"what-is-a-perpetual-contract","title":"Perpetual Contracts: Futures Contracts Without an Expiration Date","status":"published","modified_content":null},{"chapter_id":7,"order":8,"slug":"what-is-fud","title":"What is FUD: How to Use It to Your Advantage While Investing in Crypto?","status":"published","modified_content":null},{"chapter_id":7,"order":9,"slug":"investing-in-cryptocurrency","title":"Investing in Cryptocurrency: How to Manage Your Risks?","status":"published","modified_content":null},{"chapter_id":7,"order":10,"slug":"what-is-a-rug-pull-in-crypto","title":"What is a Rug Pull in Crypto?","status":"published","modified_content":null},{"chapter_id":7,"order":11,"slug":"how-to-avoid-rug-pulls-in-crypto","title":"How to Spot and Avoid Rug Pulls?","status":"published","modified_content":null},{"chapter_id":7,"order":12,"slug":"how-to-avoid-crypto-taxes","title":"The Key Legal Techniques of Avoiding Crypto Taxes","status":"published","modified_content":null}]},{"id":8,"title":"Crypto Analysis","slug":"crypto-analysis","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-analysis.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-analysis-101.jpg","rating":100,"sections":[{"chapter_id":8,"order":1,"slug":"what-is-bullish-and-bearish","title":"Bearish and Bullish Markets: Do They Matter?","status":"published","modified_content":null},{"chapter_id":8,"order":2,"slug":"best-technical-analysis-indicators-for-crypto","title":"5 Best Crypto Technical Analysis Indicators You Must Know About","status":"published","modified_content":null},{"chapter_id":8,"order":3,"slug":"what-is-candlesticks","title":"Technical Analysis: What are Candlesticks, Trendlines, and Patterns?","status":"published","modified_content":null},{"chapter_id":8,"order":4,"slug":"how-to-track-new-crypto-coins","title":"Crypto Tracking: How to Track Your Favorite Coins & Tokens?","status":"published","modified_content":null},{"chapter_id":8,"order":5,"slug":"how-to-research-crypto","title":"Crypto Research Fundamentals & Social Signals: Your Daily Trading Strategy","status":"published","modified_content":null},{"chapter_id":8,"order":46,"slug":"portfolio-diversification-definition","title":"Portfolio Diversification: The Whats, the Whys, and the Hows","status":"published","modified_content":null}]},{"id":9,"title":"Mining","slug":"mining","updated":false,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-crypto-mining.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-mining-101.jpg","rating":80,"sections":[{"chapter_id":9,"order":1,"slug":"what-is-crypto-mining","title":"Crypto Mining: What It is and How Does It Work?","status":"published","modified_content":null},{"chapter_id":9,"order":2,"slug":"what-is-a-mining-pool","title":"Mining Pools: Is Collective Mining Better Than Solo Mining?","status":"published","modified_content":null},{"chapter_id":9,"order":3,"slug":"what-is-staking-crypto","title":"An Advanced Look into What is Staking Crypto","status":"published","modified_content":null},{"chapter_id":9,"order":4,"slug":"what-is-proof-of-stake-vs-proof-of-work","title":"Proof-of-Work VS Proof-of-Stake: The Differences That Matter","status":"published","modified_content":null},{"chapter_id":9,"order":5,"slug":"what-is-crypto-mining-rig","title":"Crypto Mining Rig: What It is and How to Build One?","status":"published","modified_content":null}]},{"id":10,"title":"Crypto Terms","updated":false,"chapter":"crypto\/assets\/crypto-book\/chapters\/crypto-101-glossary.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/crypto-glossary-101.jpg","rating":100,"sections":["A","B","C","D","E","F","G","H","I","J","K","L","M","N","O","P","Q","R","S","T","U","V","W","X","Y","Z"]}]" current-chapter="crypto-exchanges" current-section="how-to-buy-crypto">

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